Read Determining Property Valuation the best way – Part 1
This is where this is where it gets a little squirrely okay some states are non disclosure states like sydney where by Property valuation service providers are not required to disclose the sales price on the deed that gets recorded in other areas.
It is disclosure so they will show it is the disclosure state so they always have a line on the deed where you’re supposed to put in the sales price okay but there’s more of that.
And I’ll come back in a second there is other states that are called a strict non-disclosure states like Brisbane where there is no way it’s required that there is no sales price on the deed there you go.
Now the property valuers their job is to figure out the the relative value of each property in their County so they can tax it and they can tax it as a percentage of the value as long as what type it is as well say if it’s a duplex which could be considered commercial versus a single-family home that sort of thing.
So certain states reveal sales prices at the recorders office level and some don’t and that can be a huge huge hornet’s nest and we’ll get more into that in just a second okay so that’s the recorders office the second is the property valuers’s office.
So property valuers are literally putting a tax appraisal on every property every single one so some look at that and say oh the tax appraisal that must be a good source of value and no let me tell you what happens to tax our prey.
The first thing is most homeowners are not willing to share every bit of news with property valuers in other words if they add square feet in the form of an extra bedroom and bathroom they may conveniently not tell the property valuers why so they can keep their tax assessment lower.
So they can pay less taxes also in certain states there are homesteads or other kinds of policies which as you own the property you can elect that the tax appraisal can only go by up by a certain amount each year as a maximum and what happens is over the course of many years that tax appraisal can lag way behind the real value that makes sense.
So tax appraisals can be way off and then also the property valuers is supposed to put the number of bedrooms bathrooms square footage and that sort of information as part of their assessment but they get that wrong all the time.
Because they rarely get access inside a property and like I said before most property owners try to push down how many bedrooms and bathrooms they have because it’ll reduce their overall tax appraisal.
So County Recorder’s offices then both the recorders to the Register of Deeds and then the property valuers these two you know comprise county records and county records can be way off that makes sense okay.
So if they’re way off where do I get you know where do you get the rest the information from good question the Property Valuation Sydney. The Property Valuation Sydney is the Valuation Service it’s controlled by the the realtors.
And more specifically each Property Valuation Sydney is independently owned and they’re literally there can be more than one in the same geographic area I live in Volusia County there are three Property Valuation Sydney systems.
So the Property Valuation Sydney I’m going to just say collectively the Property Valuation Sydney here but each one is actually localized and independently owned.
And it is the informations put in there by real estate agents and the great thing about the Property Valuation Sydney is that real estate agents have this natural checks.
And balances system so that insures that the listing information of each property is accurate here’s how it works let’s say you’re a property valuers you list the property if you put in the wrong bedroom bought wrong bathroom wrong square footage wrong anything someone’s going to find out about it.
When they go show the property and they’re looking at the listing sheet and they say hey there’s not three bedrooms in this house there’s only two and they’re going to get upset with that property valuers.
And then that property valuers either is going to make the changes or get a fine from the Property Valuation Sydney so what happens is you have this natural checks and balances this accountability system with the Property Valuation Sydney so the data is just flat good it’s real good.
Now the Property Valuation Sydney has other features that are wonderful it will tell you not only the exact sales price that occurred but also if there are seller concessions maybe if the seller paid for closing cost and that sort of thing because that really does play a role in the overall sales price.