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SpinDistribute.com Article Directory

The following article was published in our article directory on April 20, 2012.
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The Difference between Assessed Value and Market Value in the Big Island Real Estate Market

Article Category: Real Estate

Author Name: Carolina Simmons

When homeowners attempt to find their way through the big island real estate market there are a few things they need to be advised about before they try to get a home. One of the most important things to know about shopping for big island real estate is the difference between assessed value and market value.

The assessed value of a home is determined mainly by the town. The assessed value is determined when a home is built and calculations are employed to determine just what that value is. Once an assessed value has been decided, it does not change, the assessed value of a home will always stay the same regardless of what is going on with the surrounding big island real estate market. The assessed value of homes in Hawaii and in all states in the united states are used for tax uses each year. This is the principal importance of an assessed value of a house.

The market value, on the other land, can be an entirely different amount and is a number that usually means additional to most individuals looking to purchase a property. The market value is the quantity that is used to determinea selling price of a home. Many things go into determining the market value of a house including the size of the lot, sq footage, prices of homes in the community, renovations, bathrooms and more. There are many things that can influence the market value of the home, one of the biggest things that makes market values go up is when the interest in housing is high and the number of homes available is low. This is something that frequently happens in the big island real estate market, as there is a constrained amount of space to build homes and there are often far more property owners looking for homes than houses available, causing the price of big island homes to raise.

The market value of a property changes as much as the economic climate and the big island real estate market does. It is important that those looking to buy a house in the big island area recognize that the market value on homes in this area are often greater than houses in other parts of the country. This is because the land that these properties sit on is considered a lot more valuable by market standards. A $500,000 home will not be the same size or quality in the big island market as it is in other markets.

Keywords: big island real estate, real estate, Hawaii, big island, Hawaii real estate

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