{"id":4047,"date":"2026-08-04T05:10:33","date_gmt":"2026-08-04T09:10:33","guid":{"rendered":"https:\/\/ibuyer.com\/blog\/?p=4047"},"modified":"2026-08-04T05:14:58","modified_gmt":"2026-08-04T09:14:58","slug":"appraised-value-vs-market-value","status":"publish","type":"post","link":"https:\/\/ibuyer.com\/blog\/appraised-value-vs-market-value\/","title":{"rendered":"Appraised Value vs. Market Value: What’s the Difference?"},"content":{"rendered":"\n

Appraised value<\/strong> is a licensed appraiser’s objective, point-in-time estimate of what a property is worth, used primarily by lenders to confirm a loan amount. Market value<\/strong> is the price a willing buyer and a willing seller agree on in an open, competitive market with no undue pressure. The two figures are often close, but they are set by different parties for different purposes, and when they diverge, the consequences for a real estate transaction can be significant.<\/p>\n\n\n\n

In a balanced market, the two values typically land within 1% to 3%<\/strong> of each other. In competitive conditions, market value can run 5% to 15%<\/strong> above the appraised value because bidding wars push accepted prices beyond what recent closed sales can support. According to NAR’s appraisal gap frequency data<\/a>, appraisal shortfalls occurred in roughly 19% of transactions during competitive market periods in 2024.<\/p>\n\n\n\n

This guide covers what each value means, which is usually higher and why, what your four options are when a lender appraisal comes in low, how property taxes connect to appraised value versus market value, and how to formally dispute a low appraisal.<\/p>\n\n\n\n\n\n

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\n Skip the Appraisal Gap<\/span>\n Cash buyers on iBuyer.com need no lender appraisal \u2014 no financing surprises.<\/span>\n <\/p>\n <\/div>\n\n

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