Orange County Real Estate - Fair Market Value
Fair Market Value is Defined as:
The Highest Price a Buyer is Willing to Pay for a Property
The Market Approach:
The market approach is based on the premise that a prudent person will pay no more for a property than it would cost to purchase a comparable substitute.
Competitive Listing and Sales Prices:
To form an opinion of value, we analyze current listing and sales prices of similar homes in your area. We consider properties that have recently sold, are currently for sale, or were offered for sale, but did not sell. Although none of these properties are identical to yours, only those that have a high degree of similarity are noted in this report.
Comparative Evaluation:
We prepare a detailed description of your property and an estimate of the selling price range in today’s market. This is known as the comparative or competitive market value of a property.
An opinion of value is based on:
- Location
- Condition of property
- Size of home
- Lot size
- Buyer demand
- Seller motivation
- Financing availability
- Interest rates
- Prices of similar properties in the area
- Recent sales of similar properties
- Prices of similar properties offered for sale that did not sell
