Everybody values everything differently. No matter the object in question. Be it a car, house, oven, books, video cameras or a reclining chair. A piece of bathroom art in your home might only be worth a few bucks to everyone who visits your home but to you it's priceless because your daughter painted it. There are a variety of factors that go into evaluating anything and everything. Objects such as doll houses and cars to the homes we live in all have an estimated value and an actual value.

We don't always know what the actual value is on things such as vintage toy cars or livestock waterers so we always tend to rely on estimated values. What do estimated values actually mean though? Well, unless you are an expert in a certain field then they don't really mean a whole lot.

Estimated values are what you believe something is worth and that's pretty much it. If you own a Muskoka catering firm and want to sell it and come up with an estimated value of $250,000 then that's what you think the business is worth; not a penny more, not a penny less. Someone else interested in buying your company might not think your company is worth that much and will have their own estimated value.

This goes back to what we said earlier, everybody values everything differently. The most commonplace this theory is tested out is in the world of real estate. Home owners need to come up with a selling price to list their home and they usually have an estimated value of what they think their home is worth. Interested buyers then decide if they agree with that value or not.

Usually common ground is reached with an offer that is close to be what the owner thinks the home is worth and what the seller thinks the home is worth.
Keep that in my mind whenever you're trying to figure out the value of something and you aren't sure what exactly the real value is. It's also worth keeping in mind if you ever buy raffle tickets for a win a car Canada sweepstakes and actually win the car because what you value the car at and what it's actually valued at will be different if you decide to sell that car once you've won it.