The first method compares your property to others recently sold . These prices, however, must be analyzed very carefully to get the true picture. One property may have sold for more than it was really worth because the buyer was in a hurry and would pay any price.
Another may have sold for less money than it was actually worth because the owner needed cash right away and the property was sold to the first person who made an offer.
When using the sales comparison approach, the assessor must always consider such overpricing or underpricing and analyze many sales to arrive at a fair valuation. Size, quality, condition, location, and time of sale are also important factors to consider.