Definitions for "Open market value"
For inheritance tax, the open market value of an asset is the price it might reasonably fetch if it was sold on the open market at the time of the transfer of that asset.
Means the best cash price a property can expect to fetch assuming that the seller is not forced into the sale, that there has a reasonable time for property marketing, and that bids by purchasers with special interest in the property are discounted. Most property valuations ire concerned with the valuation of open market value.
This is the best price at which the sale of an interest in property might reasonable be expected to have been completed unconditionally for cash consideration on the day of valuation assuming: a) Willing seller and a willing buyer; b) That, prior to the date of valuation, there had been a reasonable period (having regard to the nature of the property and the state of the market) for the proper marketing of the interest, for the agreement of price and terms and for the completion of the sale; c) That the state of the market level of values and other circumstances were, as on any earlier assumed date of exchange of contracts, the same as on the date of valuation; and d) That a purchaser with special interest takes no account of any additional bid.