Fair market value --the hypothetical price that a willing buyer and seller will agree upon when they are acting freely, carefully, and with complete knowledge of the situation.
another definition...
Fair Market Value -- What a qualified buyer will pay for goods, services, or property.
another definition...
fair market value -- the price at which property would be transferred from a willing seller to a willing buyer, each of whom has a reasonable knowledge of all pertinent facts concerning the property in question and similar properties on the market, and neither is under any compulsion to buy or sell. Most accountants consider fair market value to be slang for market value.
Dr. Lisa Anderson is an economist and market analyst with a Ph.D. in Economics from MIT. She spent 10 years working at the Federal Reserve analyzing monetary policy and economic trends before transitioning to financial education. Lisa excels at breaking down complex economic concepts into understandable insights for everyday investors. She regularly analyzes market trends and their impact on personal finance decisions.