This is a Real Estate question asked in many different moments in time for a variety of reasons. Reasons such as taxes, loan applications, refinancing needs, death, potential sales and actual transfers are just a few of the reasons someone will ask me what their home is worth.

You may have seen the meme that shows the different values a home is given depending on one’s point of view. A home owner sees their home as their abode, a tax assessor may see it as a castle while a bank may see it as a shack. Each have their own purpose for giving a value to a home, so how is a home’s value determined?

Proposition 13 In CA, home owners have the advantage of Proposition 13 which limits annual increases to a home’s value from the Assessor’s office for tax purposes. The “market” though usually reflects a different value and two different appraisers may come to two different values for the same home during that same market.

Artificial Intelligence With the increase of artificial intelligence devices in Real Estate, there’s a plethora of differing automated values generated. Popular Real Estate websites such as Redfin, Zillow and all used these systems and, when you check them out, you’re likely to find different values for the same home at the same moment in time. These may give you a range of value that can be relatively useful but, in the end, are they really the value of your home?

Comps All of these systems use comparable homes sold in a neighborhood to come to these values. While useful, this is not the entirety of the story and any good Realtor will consult not only the comparable sold homes but have a thorough understanding of the micro-market within which that home exists.

Additionally, they stay up on trends in value by understanding data from appraisers who look deep into a location to determine how the market is affecting a home’s value.

Determining True Value In the end, the purpose behind the need for a value helps to determine its true value. An appraiser will determine a value for a bank to assure the lender the home is sufficient collateral for the loan being requested. That same appraiser may determine an entirely different value for the same home when determining the value for a court or tax preparer upon the death of an owner.

Comparative Market Analysis (CMA) When selling a home, the seller, of course, needs and wants a good comparative market analysis (CMA), however that only helps them to determine their offering price…not necessarily the value of the home.

A well informed potential buyer will also get a good CMA to help make their offer to purchase the home.

In the end, the value of that home is what both a willing and knowing buyer and seller agree to transfer the property for.

For more information about your home’s value or other questions about Real Estate, you can contact W. Gene Hunt at either (408) 887-4731 or email to

CalDRE 01124702.

Look for more articles by W. Gene Hunt at the Campbell Press.

I Look Forward to Hearing From You


W. Gene Hunt

"There is no one more Dedicated to your Goals" A motto earned not just a jingle made of hope. Angela D. says; "I feel you really got to know me as a person and by doing so you understood my needs and preferences."

Lisa D. had this to say; "I attempted to renegotiate my loan with my bank. Much to my dismay, the bank low-balled the value of my home…even in light of the improvements I’d made. I am glad to report that my experience with you was a much happier experience. I found my business dealings with you to be professional, efficient and courteous."

Linda R. sent this in; "Thank you for the help you provided in refinancing our house. I thought you would like to know that the "cost" of refinancing turned out better than we expected it would."