REAL ESTATE PROPERTY VALUATION
TO: Manager-Ms. Sally Shimmer
The Owens Real Estate Group, your manager
From: Intern
Date:
Subject: EVALUATIVE REPORT – REAL ESTATE RESEARCH MEMO
The total amount of property taxes payable that is payable in any county will depend on the market prices of that property after being compared with the home market values of the recently sold homes. On the other hand, to effectively determine home value, assessors of each county will have to appraise every residential property so as to estimate the market value of each real estate property. Some of the factors that are used to compute this include the type of the property and the nature of the surrounding neighborhood (Gabrielli & French, 2020). Once the market values have been determined, the assessment ratio is then applied to commute its true (estimated) price.
Considering the client’s profile, the property tax that they will owe the owner/s will be based on the current property tax rates, the assessed value, and address or location. The price of such a property tax can only be estimated using the medium property taxes of the area of choice. The primary reason is that each locality has multiple rates.
- Provide Credible Evidence to Support your Claim
TABLE 1
|
County |
Median Home Value |
Median Annual Property Tax Payment |
Average Effective Property Tax Rate |
|
Carroll County |
$130,200 |
$1,005 |
0.77% |
|
Cherokee County |
$234,300 |
$1,766 |
0.75% |
|
Clayton County |
$97,800 |
$1,032 |
1.06% |
|
Cobb County |
$237,800 |
$1,715 |
0.72% |
|
Coweta County |
$201,500 |
$1,751 |
0.87% |
|
DeKalb County |
$192,400 |
$2,054 |
1.07% |
|
Douglas County |
$153,100 |
$1,412 |
0.92% |
|
Fayette County |
$269,900 |
$2,475 |
0.92% |
|
Forsyth County |
$321,000 |
$2,486 |
0.77% |
|
Fulton County |
$290,400 |
$2,901 |
1.00% |
|
Gwinnett County |
$200,400 |
$2,393 |
1.19% |
Retrieved from: https://smartasset.com/taxes/georgia-property-tax-calculator#details-section
From the table above, each county has its medium market values. In return, the available social amenities and other infrastructure are used to compute the mortgage funds people pay as taxes. Therefore, the property tax that each country levies is calculated through multiplying the current property tax with the corresponding value of that asset (Gabrielli & French, 2020). This is what will be the market value any family or individual will be willing to pay.
- Connecting the evidence to the claim
TABLE 2
Suggested residential property
|
HOUSE NAME |
SIZE |
LOCATION |
PRICE (In $) |
|
Kings Contrivance, Columbia, MD |
· 1,560sqft 4 bedrooms · 2.5bath
|
8072 Red Jacket Way, Jessup, MD, 2079 |
360,000 |
TABLE 3
Comparable residential properties
|
HOUSE NAME |
SIZE |
LOCATION |
PRICE (In $) |
|
Donna Higgs |
· 2,364sqft 4 bedrooms 2.5 bathrooms |
9459 Single Bird Ln, Columbia, MD, 21046 |
485,000 |
|
Morgan And Saylor Realty Llc, Michael Ingram |
· 2,269sqft 4 bedrooms 2.5 bathrooms |
10083 Hatbrim Ter, Columbia, MD, 21046 |
429,900 |
Through comparison, the above data indicates that the prices of the two residential properties are sold at a relative price. Furthermore, the cars are frequently used by the residents because they are cheap and easily accessible at any time. Both have ample parking lots. Therefore, it is always impractical for pedestrians to navigate the entire city considering that there are no common errands that commutes on a daily basis (Kara et al., 2020). With an equity amounting to $110, 000 and a mortgage interest of 3 percent, the family can manger to pay their monthly bills for the stipulated period. On the other hand, owning any of the residential properties will be convenient for the family since they will be enjoying the quiet surrounding and the friendly neighborhood.
Additionally, the average property tax rate as at 2021 is 1.07% in Maryland. Fulton County has medium annual property tax amounting to $ 2,901, which relatively lower than the national average. From the table above, it implies that although Fulton has higher medium property tax, the family can manage to settle it considering their monthly income. Therefore, by comparing the three selected homes, the family can effectively manage to pay the house in Kings Contrivance in Columbia estate medium annual property tax of ($360,000*1.07%=$3,852).
Retrieved from: https://smartasset.com/taxes/georgia-property-tax-calculator#:~:text=The%20average%20effective%20property%20tax%20rate%20is%200.87%25.,tax%20payment%20is%20just%20%24571.
Schools
In the modern world, parents always do desire their children to be schooling in places that are easily accessible and having the required facilities. Moreover, each day, the travelling patterns keep on changing depending on the mode of transport available. Since the family requires their new residential area to about 20 km from the place of work, it means that the two criteria to be used will be based on the amount they are willing to pay as rent. With regard to that, the distance that the children will have to travel (measured using the driving time) will slightly vary more by grade as compared to those in rural areas. Therefore, for the best schools to choose, individual opinion will rely on the school’s transportation policy, geography, and public transit available within that region. As a result of that, older students of that region do cover relatively large distance to school as compared to younger students. This is also based on the amount the parents are willing to pay considering their monthly income.
Where learners live near to their schools they are enrolled in is one of the most important factors to take into consideration for such a well-functioning school choice system. Another factor that seems to impact the academic excellence of the learners is how their families are informed about the school policies and other options such as centralized lotteries and how the school seeks to meet their academic demands (Gabrielli & French, 2020). Ideally, there are no single factors that can be considered when selecting the best school for the children. By ranking, the best two schools that the family can opt for are Bollman Bridge Elementary School and Patuxent Valley Middle School.
Retrieved from: https://www.estately.com/listings/info/9459-single-bird-lane
Amenities-recreation and shopping
From medical perspective, physical activity is ultimately influenced by both the natural and the built environment. However, people are not well informed about the type of the built or natural environment to spend their free time in and the type of physical activities they can engage in while in such environments. Understanding the clinical impacts of the natural and the built environment require an insight of the different locations that offer certain physical activities. Fortunately, residing in Fulton is more enjoyable for those who haven’t visited this area. The Kings Contrivance has multiple recreational facilities for leisure and active services to its citizens. They include Owen Brown Community Center, and Kings Contrivance Community Association. Individuals and their families are able to enjoy recreation centers, athletic fields, gym, pool, tennis courts, nature centers, soccer fields, and much more.
References
Kara, A., van Oosterom, P., Çağdaş, V., Işıkdağ, Ü., & Lemmen, C. (2020). 3-Dimensional data research for property valuation in the context of the LADM Valuation Information Model. Land use policy, 98, 104179.
Gabrielli, L., & French, N. (2020). Pricing to market: property valuation methods–a practical review. Journal of Property Investment & Finance.
https://www.estately.com/listings/info/9459-single-bird-lane
https://smartasset.com/taxes/georgia-property-tax-calculator#details-section
https://smartasset.com/taxes/georgia-property-tax-calculator#:~:text=The%20average%20effective%20property%20tax%20rate%20is%200.87%25.,tax%20payment%20is%20just%20%24571.
