Thank you for the question. Market value is determined by recent comparable sales of a unit that is the same or similar. In essence, buyers are setting market standards by what they pay in the recent past. Does this answer your question? And you are correct, basement space is not as valuable as other living space.
Denise Wood, REALTOR
Keller Williams Realty
Our tax records are notoriusly wrong due to lack of clear update systems from way back. Many homes have had additions that had the legal permits required at the time but the tax assessment office never updated finished square feet. Also, in our day and age, so many homes have great basement level finished sq. ft. but it never had to generate a permit and thus no one knows about it unless it is on the market for sale and you get to tour it. I know appraisers consider basement finished area as a lessor value, but tell that to a guy who wants a man cave or and family that wants a pool table and wine cellar near the wet bar. Or a fourth or fifth bedroom with an extra bath and walkout entrance that might be a rental income unit.
I believe the values are determined by the buyers of like products but each has an individual value. So the value is determined by the buyer which just might be you. Appraisers try and use three good comps but sometimes you run into unique or outlying areas and just have to go by pluses and minues.
If you ever need more info go to http://www.PerryWellingtonRealty.com/Bonnie and you can search our MLS website from there very easily. I'll be glad to answer any of your questions. I specialize in representing buyers not sellers.
Thanks for your inquiry,
Bonnie Spetzer, Assoc. Broker
B.S Real Estate PSU
Kissinger Bigatel and Brower REALTORS