- The estimated value of a property that an owner can expect to receive if he or she sells under normal conditions. Also known as "Fair Market Value."
obtainable amount, current resale value, par value, market price
Related Terms and Acronyms
- Aviation Easement — Definition,
- An agreement that grants the right to fly airplanes over property, even if the practice causes damage, inconvenience, or loss of property value. Such an agreement usually restricts the property owner from building or growing anything over a specified height.
- Bargain Sale — Definition,
- Transfer of property or an item for less than market value.
- Below Market Value (BMV) — Acronym, Important,
- Comparative Market Analysis (CMA) — Acronym, Important,
- A method of estimating a property's value by comparing the sales prices of similar properties that have sold recently.
- Effective Age — Definition,
- An appraiser's estimate of the physical condition of a building. The actual age of a building may be shorter or longer than its effective age.
- Full Market Value — Definition,
- In reference to property taxes, usually refers to the tax rate applied to 100 percent of the property's value. Also full cash value.
- Intangible Asset — Definition,
- Non-physical resources or rights to other assets. Patents, goodwill, permits and computer programs are examples of intangible assets.
- Intangible Property — Definition,
- Property that does not have value itself, but represents something else. Stocks, bonds and franchises are examples of intangible property. Business furniture and equipment are examples of tangible personal property.
- Low Ball Offer — Definition,
- A way-below-market bid a buyer makes on a property or item.
- Market Conditions — Definition,
- Factors that affect the sales of homes in an area, such as interest rates, the unemployment rate, home appreciation, weather and time of year.
- Principle of Conformity — Definition,
- The notion that a house will fetch a fair price if it is situated among houses of similar size, style and condition.
- Principle of Progression — Definition,
- The notion that a smaller house's value will be enhanced if it is near larger, fancier houses.
- Principle of Regression — Definition,
- The notion that the value of a larger or fancier house will be reduced if it is near smaller, lower-priced houses.
- Property Value — Definition,
- The worth of a piece of real estate, based on the price a buyer and seller would negotiate.
- Seller's Market — Definition,
- Due to either low supply or high demand, the seller can expect to sell quickly with a high sale price.
- True Market Value (TMV) — Acronym,
- Valuation — Definition,
- The estimation of a property's price value through an appraisal.
- The process of finding the worth of an asset or business.