I am looking at some homes in Derry NH and I came across one I like.
But for some reason the difference between the accessed and asking is
about 40k.

I looked at some homes in the neighborhood and they are more or less
assessed the same. The realtor claims it is just cause of not letting
the inspectors in so as to keep the taxes low.

We plan to sell the house in about 4-5 years and wondering if we are
buying it too high incase we pay much more than the assessed value.

There are two other homes on sale on the same street. One is asking
50k above it's value and the other 50k below its accessed value.

Any suggestions are welcome.

Thanks

"Slain" wrote in message
oups.com...

I am looking at some homes in Derry NH and I came across one I like.
But for some reason the difference between the accessed and asking is
about 40k.

I looked at some homes in the neighborhood and they are more or less
assessed the same. The realtor claims it is just cause of not letting
the inspectors in so as to keep the taxes low.

We plan to sell the house in about 4-5 years and wondering if we are
buying it too high incase we pay much more than the assessed value.

There are two other homes on sale on the same street. One is asking
50k above it's value and the other 50k below its accessed value.

1. In this locality, assessed values for tax liability have
no function in the housing market, where prices are set
by (a) supply and demand, (b) location. Perhaps things are
different in NH.
2. If you think discrepancies between assessed value and
real market prices are important in NH, it may be unsafe to
suppose conditions will be just the same in 4-5 years.

--
Don Phillipson
Carlsbad Springs
(Ottawa, Canada)

Slain writes:

I am looking at some homes in Derry NH and I came across one I like.
But for some reason the difference between the accessed and asking is
about 40k.

I looked at some homes in the neighborhood and they are more or less
assessed the same. The realtor claims it is just cause of not letting
the inspectors in so as to keep the taxes low.

We plan to sell the house in about 4-5 years and wondering if we are
buying it too high incase we pay much more than the assessed value.

There are two other homes on sale on the same street. One is asking
50k above it's value and the other 50k below its accessed value.

Any suggestions are welcome.

I assume you mean "assessed" value rather than "accessed".

In many localities, tax assessments have little to do with actual
market values of the properties. Assessed values might be arrived at
by means of some formula based on square footage or adjustments based
on average changes in home price values in the area since the last
inspection, etc, rather than changes in the market value of the
specific property concerned. For that, you need to look at recent
sales of comparable homes in the area instead.

The townhouses in the complex I live in are all assessed at more or
less the same value. But, one of my neighbors' units is in poor
condition and needs a lot of repair work and updating inside and out.
OTOH, mine is not only in much better shape, it also has an expanded
master bedroom on the upper level with skylights and a new deck, and a
bigger back yard with more landscaping. If both units went on the
market right now, I'd guess mine would fetch at least $150K more than
my neighbor's -- even though the tax assessor thinks they're both the
same. :-P

-Sandra the cynic

"Slain" wrote...
I am looking at some homes in Derry NH and I came across one I like.
But for some reason the difference between the accessed and asking is
about 40k.

Assessed value is often lower than the market value; contact Dave Gomez and
ask him about how these values are set.

http://www.derry.nh.us/assessing/default.htm