Calculate market value from assessed value using your assessment ratio, solve for assessed value or ratio, estimate values from a proportional tax bill, or compare a target assessment and tax scenario.

Arithmetic estimate in US dollars. Enter your local assessment ratio and applicable rate; this does not determine appraised value, appeal eligibility or a legal tax bill.

Use the applicable local ratio. Suggested numbers are examples without property-type or jurisdiction claims.

Optional tax estimate

A blank rate omits optional tax outputs; bill and comparison modes require a positive rate.

Blank means zero. Enter only an amount deducted from assessed value; credits and market-value exemptions are different.

Assessed Value to Market Value Formula

The following formula is used to calculate the assessed value, market value, or assessment ratio.

AV = (MV × AR) / 100

Variables:

  • AV is the assessed value
  • MV is the market value
  • AR is the assessment ratio (as a percentage)

To calculate the assessed value, multiply the market value by the assessment ratio and then divide by 100. This formula can also be rearranged to solve for the market value or assessment ratio if the other two variables are known.

The optional tax model is tax = max(assessed value − assessed-value exemption, 0) × rate. For a positive proportional bill, assessed value = bill ÷ rate + exemption. A zero bill does not identify one assessment when exemptions apply. Target comparisons are signed arithmetic differences, with no appeal threshold; any five-year amount assumes an unchanged annual difference. Local caps, credits, fees, multiple tax bases and appeal rules are not modeled. See New York State’s explanations of assessment and property-tax calculations, and confirm the definitions used by your own assessor.

Assessed Value to Market Value Conversion Table (Assessment Ratio = 80%)
Assessed Value ($) Market Value ($)
25,00031,250
50,00062,500
75,00093,750
100,000125,000
125,000156,250
150,000187,500
175,000218,750
200,000250,000
225,000281,250
250,000312,500
275,000343,750
300,000375,000
325,000406,250
350,000437,500
375,000468,750
400,000500,000
425,000531,250
450,000562,500
475,000593,750
500,000625,000
*Assumes a fixed assessment ratio of 80%. Formula: Market Value = Assessed Value ÷ (Assessment Ratio / 100). At 80%, divide by 0.80 (multiply by 1.25).

What is Assessed Value?

The assessed value of a property is the dollar value assigned to a property by a public tax assessor for the purposes of taxation. This value is often a percentage of the market value of the property and is used to calculate property taxes. The assessment ratio is the percentage of the market value that is used to determine the assessed value. The market value is the estimated amount for which a property should exchange on the date of valuation between a willing buyer and a willing seller in an arm’s length transaction.

How to Calculate Assessed Value?

The following steps outline how to calculate the assessed value.

  1. First, determine the market value of the property (MV).
  2. Next, determine the assessment ratio (AR).
  3. Next, calculate the assessed value using the formula AV = (MV * AR) / 100.
  4. Finally, calculate the assessed value.
  5. After inserting the values and calculating the result, check your answer with the calculator above.

Example Problem : 

Use the following variables as an example problem to test your knowledge.

Market value of the property (MV) = $200,000

Assessment ratio (AR) = 80%