To arrive at “full and fair cash value” the Assessors must know what “willing sellers” and “willing buyers” will pay/receive for property. This is done by collecting, recording and analyzing a great deal of information about property and market characteristics in order to estimate the fair market value. This includes knowing the current cost of construction in the area and any changes in zoning, financing and economic conditions that may affect property values. The object is to estimate “full and fair cash value” as of January 1 (known as the “assessment date”) prior to the fiscal year that starts July 1.
For example, the assessment date for Fiscal Year 2016 is January 1, 2015 and Fiscal Year 2016 goes from July 1, 2015 through to June 30, 2016.