The value is estimated by the tax assessor based on market value. In some areas, the assessed value is the fair market value, but in others the assessed value is some fraction of the fair market value. The assessed value is often based on the price paid for the property and any improvements or otherwise as determined by periodic reassessment.
Related Fool Articles
Recent Mentions on Fool.com
- McDonald's Corporation Earnings: Will the Golden Arches Ever Grow Again?
- Is The Clorox Co. Destined for Greatness?
- Royal Dutch Shell plc Wasn't Kidding About Cutting Costs. But Will It Pay Off?
- Fool's Gold Report: Metals Climb on Russia Tensions; Goldcorp Asks Questions About the Yamana Deal
- A Turnaround Looks to Be in Full Swing at This Restaurant Chain
- Zoe's Kitchen Presents a Real Growth Opportunity