Online House Hunting

Why would a house sale price be way more than the assessed value?

I'm looking for a house and I'm still learning. The house I like is listed as 150,000 but its assessed value is 120,000.... I don't understand that? Why would they list it 30,000 more than it is valued at?

Public Comments

1. Simply because, in most cases, assessed value does NOT represent market value. Assessed value is simply a figure used to assess property taxes. If all houses in a taxing district are assessed at 75% of market value, as example, then the taxation basis is fair and equitable. However, the basis used for that assessment does not represent market value. That's one of the major reasons that no one should trust Zillow and similar for 'market value'. In many areas, such assessed value is the figure used by Zillow.
2. assessed value is for taxes - market value is what people will pay for the property. in many cases, not the same