ESTATE OF AUKER v. COMMIS | 75 T.C.M. 2321 (1998) | cm232112212 | Leagle.com.
MARKET VALUE — The most probable price in terms of money which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus.Implicit in this definition is the consummation of a sale as of a specific date and the passing of title from seller to buyer under conditions whereby:1) buyer and seller are typically motivated.2) both parties are well informed or well advised, and each acting in what they consider their own best interest.3) a reasonable time if [sic] allowed for exposure in the open market.4) payment is made in cash or its equivalent.5) financing, if any, is on terms generally available in the community at the specified date and typical for the property type in its locale.6) the price presents a normal consideration for the property sold unaffected by special financing amounts and/or terms, services, fees, costs, or credits incurred in the transaction.** REAL ESTATE APPRAISAL TERMINOLOGY, (REVISED EDITION), 1984, pages 160 & 161.
Wayne E. Knecht (Mr. Knecht) GARBAGE APPRAISAL BY MAI, AI, APPRAISAL INSTITUTE
Following the decedent's death, the estate paid $39,450 to the real estate appraising and consulting firm of Allied Real Estate Appraisers, Inc., to ascertain the "current market value" on August 12, 1992, of each parcel of the subject property for Federal estate tax purposes. Wayne E. Knecht (Mr. Knecht), MAI,4 and Lawrence F. Piper (Mr. Piper), SRA5 (collectively referred to as the appraisers), two of the firm's certified real estate appraisers, inspected and valued most of the larger interests,
The appraisers followed an industry definition of the term "market value", under which the term meant:
As to the other parcels of the subject property, none of which the appraisers inspected, the appraisers did not use any of the valuation methods mentioned above to ascertain value. The appraisers arrived at the values for this property by multiplying each property's State equalized value by 2. These parcels of property, for which the record does not disclose individual values or specifics other than general classifications of category, are set forth below by category:
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