How do you find the market value of a home? That is the million dollar question lately.
Don's answers are 100% correct. However, some more things that must be considered;
1. Question the homes that sold. Are these solds true comparables? Every Realtor knows we have to compare by sq. ft., lot, location and a multitude of other things.
2. Were any of the Solds, short sales? Foreclosures? Is the subject property (the house you want the value on), in distress? Behind on payments?
3. How many other homes are currently on the market that are similiar to the subject property? This will greatly determine value.
4. Is a buyer willing to pay more than another buyer because of the proximity of their relatives/schools/etc?
Agents and appraisers give estimates of what a home is worth based on all of these factors. The only one that determines what a home is worth is the buyer.