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Are high-end homes undervalued?

WATCH OUT!

Susan Paskewitz of Madison admits she's "sort of a nosy neighbor." The UW-Madison entomology professor (she specializes in mosquitoes) has long been curious about home values in her near-west-side environs. Recently, she noticed that one property on the market for $980,000 has an assessed value of just $660,000. That fed into her "growing sense that higher-priced properties are consistently underassessed."

To "test this hypothesis" (scientists!), Paskewitz randomly picked six houses around town with asking prices in excess of $1 million. She found that these prices were, on average, 62% higher than assessed values.

Paskewitz then sampled 22 homes on the near-west side listed on ...

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