How is a building under construction valued?
Buildings under construction are valued based on similarly constructed properties. The value is based on the percentage of construction completed. Buildings under renovation or remodeling are valued based on the contributory value of the improvements as of January 1st of the tax year. If not fully completed, the January 1st valuation is termed a partial assessment. Contributory value is the actual amount a buyer will pay based on its contribution to value. Cost does not necessarily equal value. Example:A $50,000 swimming pool may only bring a $10,000 increase in value to the overall property.
