Your LA County property tax bill says your Palmdale home is assessed at $310,000 — but it would sell for $465,000 tomorrow. That $155,000 gap exists because of Proposition 13, California's 1978 property tax law that caps assessed value increases at 2% per year regardless of actual market appreciation. Understanding this gap is critical when you are selling: your tax assessment is NOT your home's market value. Your listing price should be based on a Comparative Market Analysis (CMA), not your tax records. Get your actual market value at /en/sell-my-home/#report.
Three Numbers, Three Very Different Meanings
| Value Type | Amount | Source | What It Reflects |
|---|---|---|---|
| Assessed Value | $310,000 | LA County Assessor | Purchase price + 2%/year (Prop 13 cap) |
| Market Value (CMA) | $465,000 | Agent CMA using recent comparable sales | What a buyer would pay today |
| Zillow Zestimate | $442,000 | Automated algorithm | Algorithmic estimate (median error 6.9%) |
| Appraised Value | $455,000–$470,000 | Licensed appraiser | Lender-ordered value for loan purposes |
Proposition 13: Why Your Assessment Is So Low
Prop 13 set the initial assessed value to the purchase price and limits annual increases to 2% — even when the actual market increases 8–12% per year. A home purchased in Palmdale for $250,000 in 2015 has an assessed value of approximately $305,000 in 2026 (11 years × 2% annual increases). But the market value of that same home is $450,000–$475,000 — a gap of $145,000–$170,000. This is a tax benefit for current owners but can mislead sellers into underpricing their homes. When you sell, the buyer's assessed value resets to the new purchase price — meaning the buyer's property taxes will be significantly higher than yours.
Why Zillow Zestimates Are Wrong in the AV
Zillow's median error rate nationally is 6.9% for off-market homes. In the Antelope Valley, the error is often worse — 8–12% — because the algorithm struggles with the diversity of AV housing stock. A 1,400 sq ft home on an 8,000 sq ft lot in east Lancaster and a similar-sized home on a 20,000 sq ft lot near Quartz Hill look identical in the data but differ by $40,000–$60,000 in value. Solar panels, pools, ADUs, lot grading, and proximity to Edwards AFB all create variations that algorithms cannot capture. Never use a Zestimate as your listing price.
How to Get Your Actual Market Value
- Comparative Market Analysis (CMA): Your agent analyzes 3–6 comparable recent sales within 0.5 miles, adjusting for size, condition, lot, and features. This is the most accurate method and it is free.
- Professional Appraisal: A licensed appraiser inspects your home and compares it to recent sales. Cost: $400–$600. Required by the buyer's lender but you can order one pre-listing for certainty.
- Broker Price Opinion (BPO): A quick evaluation by a licensed broker. Less detailed than a CMA but faster. Cost: $0–$150.
- Our seller report at /en/sell-my-home/#report provides an instant estimate based on public data — then follow up with a free CMA for precision.
How the Gap Affects Your Sale
When you list your home, buyers and their agents will research all three values — assessed, estimated, and comparable sales. Sophisticated buyers use assessed value to calculate the post-purchase property tax jump. A buyer purchasing your $465,000 home will pay approximately $5,580/year in property taxes (1.2% of the new assessed value), compared to your current $3,720/year. That $1,860 annual difference — $155/month — becomes part of the buyer's monthly cost calculation and can affect their offer price. Prepare for this conversation by understanding the tax implications from both sides. For a deeper look at property taxes, see our guide at /en/blog/property-taxes-los-angeles-county-palmdale-2026.
Frequently Asked Questions
What is the difference between market value and assessed value in California?+
Market value is what a buyer would pay for your home today, based on recent comparable sales. Assessed value is the value LA County uses to calculate your property taxes, which is capped at 2% annual increases under Prop 13. The assessed value of a home purchased in 2015 could be $150,000+ below its current market value.
Why is my assessed value so much lower than my home's market value?+
Because of Proposition 13 (1978), which limits annual assessed value increases to 2% regardless of actual market appreciation. If your home appreciated 8–12% per year since purchase, the gap between assessed and market value grows every year. This is a tax advantage — you pay taxes on the lower assessed value.
Does assessed value reset when I sell my home?+
Yes. When a property is sold, the assessed value resets to the purchase price (called a "change of ownership reassessment"). The new buyer's property taxes will be based on the sale price, not your current low assessed value. This can result in significantly higher taxes for the buyer.
How accurate are Zillow estimates in the Antelope Valley?+
Zillow Zestimates have a median error of 6.9% nationally, but in the Antelope Valley the error is typically 8–12% due to the diversity of lot sizes, property conditions, and local features that algorithms cannot capture. Never use a Zestimate as your listing price — always get a CMA from a local agent.
How do I find my home's assessed value?+
Visit the LA County Assessor website (assessor.lacounty.gov) and search by your address or APN (Assessor's Parcel Number). Your most recent property tax bill also shows the assessed value. Remember: this number is for tax purposes only and does not reflect what your home would sell for.
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