Fair Market Value of a Home vs. Assessed Value vs. Appraised Value in Palm Beach County

The fair market value of a home is the price a willing buyer would pay a willing seller when neither one is under pressure and both know the facts. In Palm Beach County, owners see several other numbers too. The Property Appraiser lists a market value, an assessed value and a taxable value. Then a lender's appraiser adds one more. These numbers often disagree, and that confuses many sellers. This guide explains what each value means, where to find it, and which one to trust when you set a price.

Key takeaways

• Market value is what a home would likely sell for today. It is the number that matters most when you set a list price.
• The Property Appraiser values every property as of January 1 each year. Florida calls this "just value."
• Assessed value is just value after caps. Save Our Homes limits homestead increases to 3% or the CPI change, whichever is lower. For 2026, that is 2.7%.
• Non-homestead homes have a separate 10% yearly cap on assessed value, which resets after a sale.
• A lender's appraisal is a separate opinion of value for one loan. It can come in above or below your contract price.

What is the fair market value of a home?

Market value is a practical idea. It is what your home would most likely sell for if you listed it today, gave it normal exposure and sold to a buyer with no special tie to you. A rushed sale, a sale between family members or a sale with odd terms does not reflect it.

Agents estimate market value with a comparative market analysis. They look at recent sales of similar homes nearby, then adjust for size, condition, lot, view and upgrades. They also look at homes now for sale and homes that failed to sell. The goal is a price range that buyers will accept in the current market.

Market value also changes with the season and the supply of homes. In August 2026, Palm Beach County single-family homes had a median price of $650,000 and 3.5 months of supply, per Miami Realtors. Condos and townhouses had a median of $300,000 and 6.7 months of supply. So the same county can hold a fast market and a slow one at once.

Just value: the county's take on the fair market value of a home

Florida law asks each county property appraiser to set a "just value" for every parcel. In practice, just value is the appraiser's estimate of market value. The Palm Beach County Property Appraiser values all properties as of January 1 each year.

Under Florida Statutes section 193.011, the appraiser must weigh eight factors. These include present cash value, highest and best use, location, size, replacement cost, condition and income. The eighth factor is net sale proceeds, which means the price after the usual costs of a sale.

Because the appraiser values hundreds of thousands of parcels at once, it uses mass appraisal models. Those models cannot see your new kitchen, your water view or your roof's age in detail. So just value can sit above or below what your home would actually fetch.

Why the date matters

Just value reflects the market on January 1. If prices moved after that date, the number on the Property Appraiser's site will lag. As a result, a seller in the fall is looking at a value that may be nine months old.

Assessed value and the Save Our Homes cap

Assessed value is just value after any caps apply. For a homestead, the Save Our Homes rule limits how much assessed value can rise each year. The limit is 3% or the change in the Consumer Price Index, whichever is lower. For 2026, the cap is 2.7%, per the Florida Department of Revenue.

After many years of rising prices, a homestead's assessed value can sit far below its market value. That gap is the Save Our Homes benefit. It lowers your tax bill, but it says nothing about what a buyer will pay.

Non-homestead property has its own limit. Under section 193.1555, the assessed value of non-homestead residential property cannot rise more than 10% a year. However, that cap resets after a change of ownership. The home is then reassessed at just value as of the next January 1.

Taxable value comes last

Taxable value is assessed value minus exemptions. A homestead exemption takes $25,000 off the first $50,000 of assessed value. A second exemption applies to value above $50,000 for non-school taxes. Your tax rate then applies to the taxable value. Our post on how property taxes in Florida work covers the rest of that math.

How to look up your values

You can find your home's values for free on the county Property Appraiser's website. In Palm Beach County, search by owner name, address or parcel number on pbcpao.gov. The record shows market value, assessed value, exemptions and taxable value for recent years. It also lists past sales of the parcel.

Each August, the Property Appraiser also mails a Truth in Millage notice, often called a TRIM notice. It shows your market, assessed and taxable values along with proposed tax rates. If you think the market value is wrong, you can talk to the Property Appraiser's office first. You can also file a petition with the Value Adjustment Board within the deadline printed on the notice, which is about 30 days after mailing.

Owners in Port St. Lucie can find the same kinds of values through the St. Lucie County Property Appraiser. Both offices follow the same state law, though their websites and tools look different.

Appraised value: the lender's opinion

When a buyer uses a mortgage, the lender orders an appraisal. A licensed appraiser visits the home, studies recent comparable sales and writes a report with an opinion of value. That value is only for that loan, on that date.

An appraisal protects the lender. If it comes in below the contract price, the buyer may need to bring more cash, ask you to lower the price, or use an appraisal contingency to cancel. Our guide on what appraisers look for in a house explains the process. If the number comes in low, you and the buyer still have options, such as a price change or a second look at the comparable sales.

Appraised value and market value are often close. Still, they can differ when a market moves fast or when there are few good comparable sales nearby.

Fair market value of a home vs. tax values: why they differ

Many sellers look up their assessed value and think it shows their home's worth. That is a common mistake. Here is why tax values are a weak pricing guide.

• Assessed value is capped. On a long-held homestead, it can be far below what buyers will pay.
• Just value is a mass appraisal estimate as of January 1. It does not see your upgrades or your home's condition in detail.
• Just value also reflects net sale proceeds, so it tends to sit a bit under a likely sale price.
• The market can move after January 1, while the tax record stays the same until next year.

So if you price your home from its tax record, you could leave money on the table. Or, in a soft segment, you could price too high and sit. Neither is good for a seller.

How to estimate the fair market value of a home before you sell

Use several sources and look for where they agree. First, check online value estimates for a rough range. Next, look at recent sales of similar homes in your own community, ideally from the last three to six months. Then compare your home's condition and features with those sales.

Finally, ask a local agent for a comparative market analysis. A good one will walk through each comparable sale and explain every adjustment. It will also note how many homes like yours are for sale right now, since that affects how buyers react to your price.

In Boca Raton, for example, values can vary a lot from one community to the next, even for homes of similar size. You can also request a free home value report from our team.

When to use the fair market value of a home and when to use the others

• Setting a list price: market value from recent comparable sales.
• Budgeting property taxes: assessed and taxable value, plus how they will reset for a buyer.
• Getting a loan or refinancing: the lender's appraised value.
• Appealing your tax bill: evidence that just value is higher than market value as of January 1.

Frequently asked questions

Is the Property Appraiser's market value the same as the fair market value of a home?

Not exactly. The Property Appraiser's market value, or just value, is a mass appraisal estimate as of January 1. A home's true market value is what a buyer will pay today, which can be higher or lower.

Why is my assessed value so much lower than my home's worth?

If you have a homestead, Save Our Homes caps yearly increases in assessed value at 3% or the CPI change, whichever is lower. After years of rising prices, the gap between assessed value and market value can grow large.

Will a buyer's taxes match mine?

Usually not. After a sale, the home is reassessed at just value as of the next January 1. So a buyer's tax bill is often higher than the seller's, especially after a long homestead.

Can an appraisal be higher than the sale price?

Yes. An appraisal is an opinion of value, so it can come in above, at or below the contract price. In most cases the loan is based on the lower of the price or the appraised value.

How often does the Property Appraiser update values?

Every year. All properties in Palm Beach County are valued as of January 1, and owners get a TRIM notice with their values each August.

Sources

• Florida Statutes, s. 193.011 factors for just valuation
• Florida Statutes, s. 193.1555 non-homestead assessment limit
• Florida Department of Revenue, Save Our Homes assessment limitation
• Palm Beach County Property Appraiser, tax roll calendar
• Palm Beach County Property Appraiser, homestead exemption
• Miami Realtors, Palm Beach County August 2026 market report

Want to know what your home would really sell for? Your tax record will not tell you. Pure Equity will prepare a free home value report based on recent sales near you. If you are buying, our agents can also help you judge whether a list price fits the market. Talk with our team.