Sales Comparison Approach
When the property is a single-family home, the Assessor uses the "sales comparison approach," that is, your property is compared to other similar properties that sold prior to January 1 of the assessment year. Sales that occur after January 1 of the assessment year are not considered until the next reassessment.
When comparing properties, the Assessor analyzes sales to determine a fair valuation of similar properties, factors in the timing of the sale, as well as the information maintained on the property card such as size, location, and condition. Eliminated from consideration are family transfers, estate sales, and other similar types of transactions that may not reflect a fair market transaction between a willing seller and a willing buyer.
Current Market Value
The assessed value of a property must reflect its current market value as of January 1 of the assessment year. The assessor, for the purpose of valuation, groups properties with similar characteristics into logical neighborhoods known as study groups. Sales in each study group are compared to the assessed values.
After adjusting for differences between properties, these sales are used as a guide to determine the proper assessment for all other properties in the study group. If sales prices in a study group increase, the market value of each property in that group may also increase, even they did not sell or otherwise change.