How accurate are 'City-Assessed Values' for your home or condo?

2 minutes

[00:00:08] This is actually a very common question I get from home buyers. They see a house listed at, let's say, 300,000 dollars and then find the city assessed value is just 250K. What's going on? The house is grossly overpriced, right?

[00:00:23] So here's what's happening. The city assessed value is simply an average for that type, style, size and age of home in that particular neighborhood. Since the city in all likelihood has never stepped foot inside that particular home, they wouldn't know that the owner recently replaced all the windows, upgraded the heating and cooling, installed all new flooring and repainted inside and out.

[00:00:45] None of those things require building permits, so the city has no idea that that's been done: so that this home would be above average when compared to others in the area. Now this can also happen the other way around, and a house which is city assessed at 255,000 might hit the market with the listing price of 220. In that case, the original owner might be selling the house in all its original glory with galvanized plumbing, knob and tube wiring and the walls filled with newspaper clippings pretending to be insulation.

[00:01:16] The bottom line is: don't rely on city assessed value (i.e. an estimated average) to guide you as to the proper market value of any home.

[00:01:25] After all, that's what your real estate agent is for.

Get our podcast on any of your favorite pod-catchers.

More episodes from Bo Knows Real Estate

Market Report for Bridgwater - Winnipeg Neighbourhood Report

[00:00:00] Is now a good time to buy or sell in Bridgewater? Let's find out. [00:00:03][3.3]

[00:00:07] You're listening to the Bo Knows Real Estate Podcast. Tips and advice for home …

Real Estate & Coronavirus - Keeping Buyers and Sellers Safe

[00:00:00] Real estate in the era of the Coronavirus. How do we keep buyers and sellers safe? That's coming up next. [00:00:05][5.0]

[00:00:09] You're listening to the Bo Knows Real Estate …

Buying Your First Home in 3 Months or More? Do THIS now!

[00:00:00] First time homebuyers. Are you planning on buying your first home in three to six months? What should you be doing right now?

Buy a Condo or rent an Apartment? Which is better?

[00:00:00] If you're ready to sell your house and consider apartment style living, are you better off renting or buying a condo? That's what we'll examine on this episode of Winnipeg's Real …

New Focused Neighbourhood Market Reports in Winnipeg

[00:00:03] If you're interested in buying or selling a house or a condo, you might be paying attention to the national real estate news. Please stop that right now. If you're in Winnipeg, …

Winnipeg Real Estate Market Update for April 2020

All the info home buyers and sellers need to decide whether now is a good time to buy or sell in Winnipeg.

How you can listen to this podcast

You can listen to episodes right here on the website, or if you prefer, in a podcast app. Listening in an app makes it easier to keep track of what you’ve already heard, listen without using your data plan and many other conveniences.

Recommended apps
Start listening to Introductory Episode of 'Bo Knows Real Estate'
2:12
Start listening to Introductory Episode of 'Bo Knows Real Estate'
2:12