What is the difference between market value and actual value?

The difference between market value and actual value in eminent domain law in California is the amount of money the property owner is entitled to receive for their property in a condemnation case. Market value is the price for which a property would typically sell on the open market and may be based on the sale of comparable properties. Actual value is the value of the property as determined by a court-appointed expert, and is based on the highest and best use of the property. Market value takes into consideration various factors such as the public use of the property, the location of the property, and the condition of the property. Actual value is more precise and takes into account the unique nature of the property, along with the losses or gains that the owner may experience as a result of the condemnation. When the government condemns a property and acquires it for public use, the owner is generally entitled to receive fair market value as compensation. The government is responsible for proving that the market value is correct, while the property owner is responsible for proving the actual value. While the difference between market value and actual value in eminent domain law may seem inconsequential, it can make a large difference in the amount of money the property owner is entitled to receive in a condemnation case. It is important for property owners to be aware of this difference so that they can ensure that they are fairly compensated for their property.

Related FAQs

What is the difference between a public use and a public necessity?
What is the power of eminent domain?
What is the process for determining the public use of my property?
What is the difference between a legislative taking and an administrative taking?
What is inverse condemnation?
What is condemnation?
How can I challenge the amount of compensation I am offered?
What is the compensation I can receive for my property?
Does eminent domain apply to renewable energy projects?
How do I file an objection to an eminent domain taking?

What is the difference between market value and actual value?

Related FAQs

Related Blog Posts