“Market Value is the estimated amount for which a property should exchange on the date of valuation between a willing buyer and a willing seller in an arm’s-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion.”
What this means is the value whereby there are no restrictions or “special assumptions” placed upon the sale, such as a 90 day marketing period. When these assumptions are applied to the value, it can often drastically reduce the value of an asset, especially those properties that have a narrower market i.e. land or certain lifestyle properties such as a rural pub.