What is the difference between market value and actual value?

The difference between market value and actual value in the context of eminent domain law in Texas is the amount of compensation that must be paid to the property owner if the state takes possession of their land. Market value is the estimated price of a property based on its current condition and what it would likely sell for in the open market if it was voluntarily placed on the market for purchase. Actual value, on the other hand, is the monetary compensation the property owner must be paid as a result of the state taking possession of their land. In Texas, the law requires that the property owner be fairly compensated for the taking of their land, and the amount of compensation they receive must be equal to or more than the actual value of the property. Whereas market value may fluctuate depending on a variety of factors, the actual value is generally determined by appraisers who evaluate the fair market value of the property based on specific criteria. In the case of eminent domain law in Texas, the government must determine the actual value of the property in order to make sure that the property owner is adequately compensated. Property owners are entitled to the actual value of their property which may or may not be higher than the market value of their land.

Related FAQs

How can I challenge the amount of compensation I am offered?
Are there any restrictions as to how the government can use my property?
What is the purpose of eminent domain?
What is condemnation?
Who has the power of eminent domain?
How do I file an objection to an eminent domain taking?
What is the difference between a public use and a public benefit?
What is the difference between market value and fair market value?
What is the difference between a public purpose and a public use?
What is the difference between a public use and economic development?

What is the difference between market value and actual value?

Related FAQs

Related Blog Posts