If a property sells for $60,000 and is assessed at $48,000, what is the Sales to Assessment Ratio?

To calculate the Sales to Assessment Ratio, you divide the assessed value of the property by the sale price, and then multiply by 100 to convert it to a percentage.

In this case, the assessed value is $48,000 and the sale price is $60,000. The calculation is as follows:

(Sale Price / Assessed Value) × 100

Substituting the values:

(48,000 / 60,000) × 100 = 0.8 × 100 = 80%

This means the Sales to Assessment Ratio is 80%. This ratio is important as it provides insight into how closely the assessed values align with actual transaction prices in the market, and can be valuable for assessing equity in property taxation.