Market Value
The most probable price a property should bring in a competitive and open market under fair conditions with informed, willing parties.
Quick flashcard
What does Market Value mean on the Texas real estate exam?
Answer: The most probable price a property should bring in a competitive and open market under fair conditions with informed, willing parties.
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Market Value definition
Market value is the most probable price a property should bring in a competitive and open market, assuming a willing buyer and seller, both reasonably informed, neither under pressure, and with the property exposed for a reasonable time.
Market value differs from market price, which is the amount actually paid in a specific transaction. A sale made under pressure or with poor information can produce a price above or below market value.
Source basis
Definition checked against the official sources below on .
On the exam
Exam trap
Tested in
Value & Appraisal (11 of 80 National)
From definition to recall
See this term inside a real exam question.
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Try 5 free questionsThis definition is Texas real estate exam-prep education, not legal, tax, or professional advice. Verify current rules against the official source before relying on them for a real transaction. Back to the full glossary.