Final answer:
The observed price when a property is sold is known as the property's transaction value, reflecting market conditions and negotiation outcomes.
Step-by-step explanation:
The price we observe when a property is sold is more commonly referred to as the property’s transaction value. This is the actual price that a property sells for on the market and is a reflection of both the market conditions and the negotiation between buyer and seller.
The book value is an accounting term that refers to the value of an asset according to its balance sheet account balance. The indicated value is an estimated value derived from an appraisal model, a set of assumptions under particular conditions.
The appraised value is an expert’s opinion of a property’s worth at a given time based on factors such as location, condition, and recent sales of comparable properties. For understanding property value, it’s also important to consider a homeowner’s equity, which is the market value of the house minus what is still owed to the bank.
The price we observe when a property is sold is more commonly referred to as the property's transaction value. This is the actual price at which the property is bought or sold in a transaction. It represents the agreed-upon price between the buyer and the seller.