If you’re a property owner, you should have received your BC Assessment in the mail. Majority of homeowners are seeing a drop in the value of their home by 5-15%, depending on the region.
The assessed value of your home is not a reflection of what is happening in the current market and should not be relied upon for purchase, sale or financing. Assessed values are determined once a year in July and the market has changed since then.
To give you an example, a condo in Vancouver was assessed at $495,400, but was recently sold for $570,000, that’s almost $75,000 more than assessed value. I recently did a market analysis for one of my clients. The condo was assessed at $477,000, but by looking at what similar properties were sold for in the area, I determined the true market value of their home to be approximately $525,000 ($48,000 more than assessed).
It’s natural to be concerned with this low assessed value, but keep in mind, market value is determined by what comparable properties have recently sold for, what a buyer is willing to pay for a home, and what the seller is willing to accept.
If you’d like to discuss what this means in terms of potential sale price or want to receive an analysis of what similar properties in a similar neighbourhood are currently valued at, feel free to get in touch with me.
Kim Lee PREC*
Oakwyn Realty Downtown Ltd.