Real Estate Law
Have Real Estate Law Questions? Ask a Real Estate Lawyer.
Thank you for your question.
The fair market value is defined as what a willing buyer would pay a willing seller. It is usually determined by having one or more appraisers appraise the property. Appraisals are based on a lot of factors including the age and condition of the property, proximity to fire stations and schools and prices recently paid in the area for comparable properties.
The fact that the owner builder is not allowed to sell for a year does not affect the market value of the property. The owner still has to pay property taxes on the assessed value of the property even if it is temporarily unmarketable.
Properties with lis pendens recorded against them are not marketable, but appraisers and insurers assign them a fair market value all the time.
I hope this information is helpful.
The owner built house is not illegal the way vory may be. The owner can still contract to sell it and agree that title cannot be transferred until after the year expires. That is my honest opinion, I am not here to just tell people what they want to hear and I do not see the ivory situation as relevant. If you are not satisfied with my answer, you can opt me out and request a different expert who might have a different perspective.
Do you want me to opt out?