What does the term value signify in real estate?

In real estate, the term "value" primarily refers to the price at which a property will theoretically sell in the market. This concept encompasses the perception of worth that buyers and sellers assign to a property based on various factors, including location, condition, market demand, and comparable sales. While emotional attachment, maintenance costs, and tax obligations are important considerations in the real estate landscape, they do not define value in the same way that the potential sale price does. Value reflects the market's consensus regarding what a property is worth at any given time, making it a critical concept for buyers, sellers, and real estate professionals to understand in the context of transactions and investments.