Is Your BC Assessment The Same As True Market Value? This is a common question I receive as a Realtor who assesses numerous properties in Kamloops, especially now that BC Assessments have arrived in the mail. Let’s examine the data presented in your assessment and how it correlates to your property’s value.
Is my house value the same as my BC assessment?
BC Assessment values increasing year after year (average of 11% in Kamloops in 2023). Correspondingly, I often get calls from homeowners in January who are wondering if their property is worth the same as their assessment.
Appraisers are responsible for assessing over 2 million properties in British Columbia each year by considering your property’s basic characteristics, including:
- The location of the home
- The view from the home
- The size of the home
- The age of the home
- Garages, carports, decks, pool, etc.
- Comparable sales prices and other real estate market information
For those reasons, your home assessment is a good indicator of trends in market value for your city and neighbourhood, but it is not always guaranteed money in your pocket.
Why is there a difference between BC Assessment and
The reality is that BC Assessment values help your municipality calculate property taxes, not the actual market value of your home. When is the last time a BC Assessment appraiser physically visited your house? It’s probably been a while, if ever.
Since BC Assessment appraisers don’t view the inside of your home, renovations or improvements are not taken into account during your assessment. In contrast, a Realtor or third-party appraiser assesses both the inside and outside of your property to determine true market value. The true value of your property is often a reflection of supply/demand in your area and buyers’ willingness to pay. Therefore, BC Assessments are a rough measuring stick and not the sole indicator of market value.
Don’t forget the timeline of BC Assessments
Additionally, we must consider that BC Assessment values are not up-to-date. Your BC Assessment value is determined for July 1st of the prior year, already 6 months outdated.
When assessing a property for true market values, I use the past 2-3 months sales history for current comparisons. Depending on the property, the sales history can be sparse. For this reason, we occasionally use older data, although though it’s not the primary choice.