Fair Market Value

The price at which property would be transferred between a willing buyer and willing seller, each of whom has a reasonable knowledge of all pertinent facts and is not under any compulsion to buy or sell.

The price a property can realistically sell for, based upon comparable selling prices of other properties in the same area.

The hypothetical price that a willing buyer and seller will agree upon when they are acting freely, carefully, and with complete knowledge of the situation.

Fair market value is the price you would have to pay to buy a particular asset or service on the open market.

The concept of fair market value assumes that both buyer and seller are reasonably well informed of market conditions. It also assumes that neither is under undue pressure to buy or sell, and that neither intends to defraud the other.

The value for which a reasonable seller would sell an item of property and for which a reasonable buyer would buy it.

The price an owner willing, but not under compulsion, to sell, ought to receive from a buyer willing but not under compulsion to buy.