Market value
The most likely price a home would sell for in an arm's-length deal, with a willing buyer and seller and reasonable time on the market. The number appraisals try to estimate.
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Where this comes up in a sale, and what follows
- Set up your closing team (comes before)
Part 1 of 4
Why a seller cares
Market value is the price a willing buyer and a willing seller would agree on with neither under pressure. It is what the appraisal estimates and what a good list price aims near, and it moves with the market.
Part 2 of 4
A simple example
Three comps put your home's market value near $305,000. The market slows over the summer, and the same comps would now support about $298,000.
| The number | What it is |
|---|---|
| Market value, about $305,000 | What the evidence says the home would sell for now |
| List price, $309,900 | What you ask, with room to negotiate |
| Sale price, $302,000 | What a buyer actually paid |
Market value is an estimate. The sale price is the one fact.
Part 3 of 4
What people get wrong
That market value is what you paid plus what you spent. It is what buyers will pay now, and improvements rarely return their whole cost.
Part 4 of 4 · where to read next
Where it appears in the sale
What a definition is, and what it isn't
Keighbor is a software company, not a law firm, brokerage, or tax adviser. This is general information, not legal, tax, financial, or real estate advice about your sale. Your situation may differ. Before acting on a contract, disclosure, title, tax, or pricing question, ask an appropriately licensed professional in your state.
Written and researched by Keighbor Research · drawn from the reference glossary · how we research and check what we publish
In your Room, this word explains itself where it appears.
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