valuation
market price
Market price is the price a property actually sold for in a particular transaction. It is a historical fact, unlike market value, which is an opinion of the most probable price under normal market conditions. Market price may differ from market value if the sale involved pressure, unusual financing, related parties, or a buyer or seller who was not well informed.
- Exam tip
- Classic exam contrast: market price is what it did sell for; market value is what it should sell for in an arm's-length sale. Price is fact, value is an estimate.
- Example
- A home appraised at $350,000 sells for $320,000 because the owner had to move in two weeks. The market price was $320,000.
Related terms & state variants
Sources
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Last verified: 2026-10-23