Difference between Market Value and Tax Value

Question: How can I explain to someone the difference in the tax report market value of a home and list price of a  home?

Answer:   Because Utah is a non disclosure state the County Assessor uses their own valuation on the tax records.  It’s usually less than actual value. They use a formula and a Mill rate to factor this. The County is sometimes behind the curve in their valuations, so usually their market value is not the current real value.  Comparable sales gives you a much more accurate valuation. A Buyer will be sent a Survey from the State requesting sales price. This does not need to be provided unless the Buyer wants to disclose this. Also the County Tax form where the Buyer can apply for the 50% Owner occupant discount, will also ask for the Sales price.  Again the Buyer does not have to disclose this.  However an owner is entitled to the 50% tax discount even if it’s not their primary residence, as long as it’s being rented and it’s the renters primary residence.