Yesterday, one of my co-workers made the assertion yesterday that almost all houses south of the river were selling below their 2009 tax assessed value. I thought I’d take up the challenge and do an analysis of all single family homes sold in Dakota County in November 2009 to see if this could be quantified to help set expectations with clients.
What I wanted to do was compare the actual sold price for properties against their tax assessed value and then do some averages across the board. Using the MLS I was able to pull out all single-family homes in Dakota County that sold since November 1st. I specifically, removed any homes that were lender owned or short sales so that it would look only at the traditional home seller. I then exported that data to Microsoft Excel and pulled another report from MLS that showed the tax data for each property. After plugging in that data to the spreadsheet and doing some comparisons and formatting it gave me the following report -
As it turns out, my co-worker was right. Of the 32 homes in my report, 29 of them sold for below their 2009 Dakota County tax assessed value. In fact, on average they sold for WELL BELOW this number at about 90% of value. Although this is depressing data for most people it should help set expectations for clients in this market which is much different than what we’ve experienced in the past. I left the first column (Days on Market) on the report to see if selling faster or slower made much of a difference and it doesn’t look like it.
That said, there are a few homes that sold above or very near tax assessed value and The WE Team specializes in putting together a staging, photography & marketing plan to help our clients get top dollar.
To get your own Market Analysis using some of the most in-depth research along with our custom Market Analysis tools contact me for a no obligation meeting.