What does assessed value refer to?

Assessed value refers specifically to the value assigned to a property for the purpose of taxation. This value is established by a local government assessor and is used to determine property taxes owed by the owner. The assessed value is typically based on the property's market value, but it may involve different methodologies or adjustments that reflect local regulations or authority's assessment practices.

Unlike the market value—which is an estimate of what a property would sell for in an open market—the assessed value is primarily concerned with generating tax revenue and is recorded on the tax rolls. This distinction is crucial, as it means assessed value may not necessarily reflect a property's current market conditions or selling price.

In contrast, the other options present different contexts for valuing a property. For example, appraised value reflects a professional judgment by an appraiser, while expected selling price relates to buyers' perspectives in the housing market. Market value of a business is a completely separate category that pertains to business valuations and is not relevant to real estate assessments.