What is the difference between assessed value and market value?

The difference between assessed value and market value in North Dakota property tax law is essentially the difference between what a property is technically worth and what it is actually worth. The assessed value of a property is determined by local taxing authorities and represents the total value of the property for tax purposes; this is usually less than the actual market value of the property. Market value, on the other hand, is the estimated amount that a property would be worth if it were sold on the open market. This value is often determined by an appraisal conducted by a licensed professional. In North Dakota, property is assessed at its market value, and all properties are taxed based on their assessed value. This is done to ensure that all property owners are paying taxes based on the current market value of their properties, and not a lower or higher rate based on previous appraisals. It also helps to ensure that property owners are not receiving an unfair tax break due to an artificially low value being placed on their property.

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