What situation might cause a property to be valued differently according to its sale code?

In the context of property valuation, sale codes are essential for classifying transactions based on specific circumstances, which can influence how properties are assessed. Both short sales and sales between family members can lead to different valuation outcomes due to the unique attributes of each transaction type.

Short sales typically occur when a property is sold for less than the amount owed on the mortgage, often due to financial distress. This can indicate a need for a lower valuation because it reflects a market condition where the property is not achieving its full market value.

On the other hand, sales between family members often involve transactions that do not reflect fair market value due to personal relationships and agreements that differ from standard market practices. These sales might involve nominal payments or other considerations that do not align with the typical market exchange.

Therefore, both situations warrant distinct sale codes, highlighting that the valuation of properties can be significantly influenced based on the nature of the sale. This differentiation helps ensure that assessments remain accurate in reflecting true market conditions and local practices.