Example 1:

• Your property is assessed at $500,000.
• You purchased it last year for $450,000.
• The level of assessment is the assessment divided by its sale price:
  $500,000/$450,000 = 1.11
• Your property is assessed at 111% of its market value or 11% over its market value.

Example 2:

• Your property is assessed at $270,000.
• You have an appraisal that says the market value last year was $300,000.
• The level of assessment is $270,000 divided by $300,000 = 0.9
• Your property is assessed at 90% of its market value or 10% under its market value.