Current through Register Vol. 54, No. 45, November 9, 2024
Section 603.51 - Computation procedure(a) If the aggregate inventories of taxable real property in terms of assessments by use type of property, and the respective converting assessment-sales ratios is ascertained, the final conversion phase shall be converting aggregate assessments into aggregate market values. The mechanics of this final phase is illustrated by the following hypothetical example: TAXABLE REAL PROPERTY X SCHOOL DISTRICT 1967
| PropertyType | Aggregate inventory (County Assessed Valuation) (in dollars) | Converting Assessment-Sales Ratio (in percentage) | Aggregate Sales Value (in dollars) |
| Land and Improvements: |
| Residential | 10,000,000 | 33 | 30,000,000 |
| Industrial | 1,000,000 | 25 | 4,000,000 |
| Commercial | 5,000,000 | 50 | 10,000,000 |
| Land Only: |
| Lots | 200,000 | 20 | 1,000,000 |
| Waste Land | 50,000 | 20 | 250,000 |
| ____________ | ____________ |
| Total | 16,250,000 | 45,250,000 |
(b) It should be noted that in the residential classification in subsection (a), sales indicate on an average, dwellings are assessed at 1/3 of bona fide selling prices. Thus, if the $10,000,00 aggregate residential assessments represent 33 1/3% of aggregate market value, aggregate market value is $30,000,000.(c) To further guarantee conservatism and realism, the total aggregate sales value in subsection (a) is subjected to a Statewide uniform discount in determining aggregate market value.