On what basis must property values be assessed according to state requirements?

Property values for assessment purposes must be based on market value, which reflects the price that a property would likely sell for in an open and competitive real estate market. Market value is determined by considering various factors, including location, condition of the property, and recent sales of comparable properties. This approach ensures that property assessments are fair and reflect the current conditions of the market, allowing for equitable taxation and compliance with state requirements.

Using market value helps assessors to standardize property valuations across the municipality and provides a basis for taxation that is generally accepted by property owners. Adherence to this standard aids in transparency and confidence in the assessment process, thus promoting fairness within the real estate industry.