Ever looked up a home in Doctor Phillips and found three different “values” for the same property? You are not alone. Assessed value, appraised value, and market value serve different purposes, and the gaps can be large in Florida. This guide breaks down what each number means, how Florida’s rules shape them, and how to use them to make smarter decisions on pricing, offers, financing, and taxes. Let’s dive in.
Assessed vs appraised vs market: basics
Assessed value
Assessed value is used for property taxes. In Florida, the county property appraiser sets a just (market) value for every property, then applies exemptions and caps to calculate your assessed and taxable values. Your tax bill is based on the taxable value, not today’s list or sale price.
Appraised value
Appraised value is an opinion of value prepared by a state-licensed appraiser as of a specific date. Lenders rely on it to underwrite mortgages. Appraisers follow professional standards (USPAP) and usually use the sales comparison approach with recent, similar closed sales.
Market value
Market value is the price a willing buyer and seller are most likely to agree on under normal conditions. It reflects current demand, inventory, location, updates, and timing. The final sale price is often the best expression of market value.
Florida rules that shape values
Save Our Homes and homestead protections
If you own a primary residence with a homestead exemption, Florida’s Save Our Homes cap limits how fast your assessed value can increase each year. The cap is the lesser of 3% or the change in the CPI. Over time, this can create a wide gap between assessed value and current market value, especially in appreciating areas like Doctor Phillips. When a homesteaded property sells, the new owner’s assessed value typically resets closer to current market value.
Homestead exemption also reduces taxable value for qualifying primary residences, and certain additional exemptions may apply based on eligibility.
TRIM notices and appeals
Every year, owners receive a TRIM (Truth in Millage) notice that shows proposed tax rates, assessed value, and how exemptions apply. If you disagree with your assessed value, you can petition the Orange County Value Adjustment Board (VAB). Deadlines and procedures are set by the county and appear on your TRIM notice and county guidance.
Doctor Phillips market factors
Doctor Phillips includes golf and lake communities, gated neighborhoods, and luxury estates near major employers and attractions. Market value can vary by lot size, water frontage, renovation quality, and even micro-location within a subdivision. Choosing accurate comparables is essential for both a CMA and a formal appraisal.
How values are used in real deals
Listing and offers
- Sellers set list price based on market value, not the county’s assessed number.
- Buyers shape offers around market conditions, budget, and expected appraisal outcomes.
- Agents use a CMA to estimate market value. Appraisers use tighter comparable selection and conservative adjustments.
Financing and lender appraisals
- Most lenders require a third-party appraisal to confirm the property supports the loan amount.
- If the appraisal is below contract price, you can renegotiate, bring cash to cover the gap, or request a reconsideration of value with better comparables.
- Appraisals capture value as of the appraisal date. In a fast-moving market, appraisals may trail bidding activity.
Taxes at and after closing
- Taxes flow from taxable value and millage rates, not the sale price alone.
- A long-term homestead owner may enjoy a low assessed value because of Save Our Homes. After a sale, the new owner’s assessed value typically resets closer to market value, which can increase the new owner’s tax bill compared with the seller’s.
Why these numbers diverge
- Timing differences: Assessed values update annually under caps, while market prices can shift quickly. Appraisals reflect recent sales.
- Different purposes: The county uses mass appraisal for taxes, appraisers analyze a single property for lending, and the market reflects real-time buyer and seller decisions.
- Florida adjustments: Save Our Homes caps and exemptions can keep assessed values far below market for long-time owners.
- Condition and upgrades: County records may not capture recent renovations. An appraisal or active buyer demand might.
- Limited comparables: In luxury pockets with few recent sales, appraisals may vary because of limited data.
Practical checklists
For Doctor Phillips buyers
- Review recent, nearby closed sales with your agent, ideally within the same subdivision.
- Ask for a list of upgrades, permits, and the seller’s comps.
- Consider appraisal risk in competitive situations and decide on your contingency approach.
- Plan for post-closing taxes. A seller’s current tax bill may not reflect your future tax bill after reassessment.
For Doctor Phillips sellers
- Price to market using a local CMA. Do not use assessed value as a pricing anchor.
- Prepare a comps packet: recent sales, upgrades, permits, and a features list. Share it with buyers and appraisers.
- Be ready to explain Save Our Homes and how reassessment can affect the buyer’s taxes after closing.
For owners reviewing assessed value
- Check your property’s assessed value, exemptions, and characteristics on county records.
- Read your TRIM notice carefully when it arrives.
- If you believe the assessed value is inaccurate, gather recent comps, photos, and documentation, then consider filing a VAB petition before the listed deadline.
If the appraisal comes in low
- Ask your agent to compile better comparables and a list of upgrades to submit for reconsideration of value.
- Discuss options with the seller: price reduction, seller credits, or other terms.
- Consider bringing additional cash to close the gap if it fits your plan.
- If justified, explore a second appraisal through the lender’s process.
If the assessed value seems off
- Compare your property’s details in county records with your home’s actual condition and features.
- Pull recent, nearby sales that align with your home’s size, age, and updates.
- Document issues that affect value (deferred maintenance, location specifics).
- Follow county guidance to submit a timely VAB petition with supporting evidence.
Final thoughts and next steps
Understanding the difference between assessed, appraised, and market value helps you price with confidence, write stronger offers, and plan for taxes with fewer surprises. In Doctor Phillips, Save Our Homes and luxury micro-markets make precise comparable selection and clear documentation even more important. If you want a tailored pricing or purchase strategy, connect with a local advisor who can match your property or search with the right data and approach.
Ready to make your next move in Doctor Phillips with discretion and clarity? Connect with Florida Golf & Beaches to Request a Private Consultation.
FAQs
What is the difference between assessed, appraised, and market value in Florida?
- Assessed value informs property taxes, appraised value is a licensed appraiser’s opinion for a specific date (often for lending), and market value is what a willing buyer and seller are most likely to agree on.
How does Save Our Homes affect taxes for a new buyer in Dr. Phillips?
- The seller’s assessed value may be capped and low; after you buy, the assessed value typically resets closer to market, which can increase your tax bill compared with the seller’s.
What happens if my lender’s appraisal is below the contract price?
- You can renegotiate, bring cash to cover the gap, or request a reconsideration of value by providing stronger comparables and documentation.
Should I price my home based on the county’s assessed value?
- No. Use current market data and a CMA to set list price; assessed value is designed for taxes and often lags true market conditions.
How do I appeal my assessed value in Orange County?
- Review your TRIM notice, gather comps and documentation, and file a timely petition with the Value Adjustment Board following county procedures.
