Recently Sold Homes In My Area -- How much did they sell for?

Q: How do I find out how much the recently sold homes in my area sold for? 

A: It is a very common question and the answer may depend on where you live. In Austin, and in all Texas cities, the only correct answer to this question is from your local Realtor.

Q: But several web sites show "sold" data and comparable home values. Isn't this sold data and true market comp data?

A: No. Not for Texas. It is not market value based on sold data. Texas is a Non-Disclosure state, so MLS sold data is not public information and it is not published to the taxing authorities either. The only way the county taxing authorities can get sold home data is if the home owner volunteers this information upon request or upon dispute of tax value. So, there are some specific properties where the county has real sold data, but most of their information is based on a spread sheet analysis of home size compared to other homes in the zip code.

Q: When will the county come in and appraise my home?

A: Never. Your local county only has a few appraisers who cover for thousands of homes. These people mostly sit in front of a computer--"assessing home values". Unlike the Appraisers who works for banks and came out to your home when you bought it, examined your home, measured it, took pictures of it and compare it to other homes that were sold in the community during the past 6 months--the job of the county appraisal districts is to create a spread sheet analysis of homes in the area and generate revenue for local taxing entities. 

Q:  Does the county have Appraisers on staff to do individual and personal appraisals?

A: The sheer numbers of Appraisers that would be needed to do personal appraisals for an area like Austin where over 21,000 homes a year sell, would be off the chart compared to the few appraisers that are actually on staff. There are approximately 75 homes a day that close in Greater Austin. It would probably take at least that many Individuals to cover for all of the counties business alone.

Q: What does that mean about the accuracy of information for the "tax value" of a home vs the "market value" of a home?

A: It means that these are two different kinds of information and generally speaking--they are unrelated information, at least for Texas. Market Value is what a buyer is willing to pay and a seller is willing to sell for--a given home, of a given size, age, condition, location and features.  Tax Value is what the taxing authority has determined to be the tax value that a home owner will pay in local taxes. The home owner may or may not agree with the taxing value of their home. 

Two big take-aways to consider here: 

1. All Real Estate markets are local and different. Ask your Realtor how it works in your state and city. Don't assume that it is the same in your area. 

2. When you are buying a home--employ a Realtor. It is free* to you as a Buyer to have a Realtor represent you and for such a big and important purchase--why wouldn't you want the best possible representation in your corner. 

If you are looking for a home in the Greater Austin Area, give me a call. Let's Talk.

(*I suppose there may be some exceptions to this rule, but I can't tell you off of the top of my head what they would be; generally speaking, the Buyer's Agent fees are paid for by the seller, not the buyer--so, why wouldn't you hire a Realtor? It is already paid for).