Market value vs council rates

I just got my mums rates notice and surprise its gone up again.
Gone up but $580 for the year.

My mum was told she could sell for 950 to 1.1 mil but offeres have been below 900k.

The rates notice conservative estimate says 900k.
So should you get close to 1 mil if selling?

 

My rateable value on my rates is less than half of market value.

Your mum's property is worth what someone is willing to pay for it - I wouldn't rely on the rateable value at all.

 

So how can rates be so high.if its.not what the property is worth

 

There would be an information booklet from Council that comes with the rates notice.

 

Have a read through this. Might help

Frequently asked questions - Valuer General of New South Wales

 

Nope doesn't really.
Says how its valued but doesnt say how this if it has a impack on market value

 

A, valuations are only done every few years (so behind the curve)
B, they are an average
C, they are conservative (mostly, as it's a PITA for council when contested)

I find Vic to be a rort, as it is land and "capital improved", IE: if you can afford to put a nice house on that lot you can afford to pay council more..............(for no extra service's)

 

The way rates are worked out is a bit complicated.

Roughly, Councils decide on a budget for the year based on what is needed (in my Council it’s been local road maintenance, public waste management, community hubs with libraries and maternal child & health centers - along with lifesaving clubs and sports pavilions recently) and that cost is divided up amongst rate payers at a rate in the dollar according to the value of their property.

Seems fair to me.

 

That's because rates in NSW and QLD are based on valuations of the unimproved land (i.e. they don't include the house) whereas rate valuations in Victoria include the value of the buildings.