Property Valuation
Which of the following best describes the difference between 'price' and 'value' in Mississippi real estate?
AThey are identical terms used interchangeably
BPrice is the amount actually paid in a transaction; value is the appraiser's estimate of what a property should sell for under defined conditions✓ Correct
CValue is always higher than price
DPrice is set by the county assessor; value is set by the market
Explanation
Price is the amount a specific buyer actually paid in a specific transaction, which may or may not equal market value. Market value is the appraiser's objective estimate of the most probable price under specified hypothetical conditions.
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