ShmoopTube

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finance a la shmoop what is assessed value well here's ass value, here's asset value.. [Ass eating grass and a house for sale]

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that is if you own a home, there really two prices attached to it..

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The price you pay for it, or can sell it for, that's the market value of your asset, your

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home, and what your home is officially worth according to the government, well that's the assessed value..

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the government assessed that your home was in fact worth $412,932

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why two sets of house prices well to

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keep things you know interesting and to get you to pay your taxes your state [Uncle Sam walks in on man in office]

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charges you property tax just for the privilege of living in the state they

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charge more for the guy living in the McMansion than they do for the guy

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living in the one bedroom bungalow usually but they still need to figure [Large mansion and small bungalow]

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out who pays what each state has a little different taxation system and some

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states use a formula based on what you paid for the house or what your house is

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accessed or perceived value is in California for example you pony up one

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point two five percent of the purchase price the price you paid for your home

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within some subsequent adjustments for inflation over time that's the rate pay [Inflation chart over time]

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based on the purchase price the market price in other states the value of the

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house carries an assessed value that is an assessor takes a look at your home

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every so often and comes up with a dollar figure of what they guess the [Assessor person beside the assessed property]

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house is well officially worth for tax purposes usually that number is lower

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than what you actually paid for your house or what it would get if you would

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sell it in the marketplace you know if you whine loud enough the assessor may

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make an adjustment so that for at least that year your tax bill can come down [Man celebrates with assessor]

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yeah whining about taxes it can have its benefits people and all that whining

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yeah it'll make you feel like one of these guys

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