Estimated market value

Estimated market value is the amount the City of Maple Grove assessor estimates the property would most likely sell for on the open market. It is determined using mass appraisal techniques.

Estimated market value is the tool used to determine how much (your share) of the various taxing jurisdiction’s levy gets allocated to your property in the form of property taxes. If the estimated market value represents 1% of the taxable market value in a taxing jurisdiction, you will be allocated 1% of that jurisdiction’s property tax levy.

Estimated market value is established as of January 2 each year.

• For the 2023 assessment, the assessor considered sales that occurred between October 2021 and September 2022.
• The 2023 assessment is the basis for the property tax payable in 2024. The property tax that is payable in 2023 is based on the property’s estimated market valuation and classification as of January 2, 2022. 

Not all sales are included in mass appraisal.

• Not all sales are representative of the market. Sales such as foreclosures, certain estate sales, sales between relatives, and sales where the buyer or seller acted under duress are a few examples of sales not considered open market, arms-length transactions. Therefore, they are not used in sales ratio studies nor are they used as comparable sales in estimating the value of similar properties for property tax purposes.
• To review open market, arms-length sales received by the City of Maple Grove between October 1, 2021, and March 15, 2023, view the sales map.

The estimated market value is not based on an individual sale, but rather a consideration of many sales, resulting in an indicated value or “most likely” sale price.

• People buy and sell property based on their own personal situation. Consequently, not all sales are reflective of the market. Mass appraisal techniques seek to value all properties based on sales transactions of many similar properties

Sale prices adjusted for market conditions.

• Assessors must value all property on the assessment date at the value it would sell for considering all market conditions. Sales occurring prior to the assessment date must be analyzed with consideration given to changes in market conditions between the sale date and January 2.
  
  
  • Minnesota Statute 270.12 requires the Department of Revenue to follow sales ratio study standards set by the International Association of Assessing Officers.  
  • This includes using statistically supported time trend analysis studies to determine market condition trends by jurisdiction. 
  • The results of the Department of Revenue time trend analysis studies are applied to sale prices to adjust them for differences in market conditions between the sale date and the January 2 assessment date.