I'm a newbie, still in the research phase and I've been looking for my first property on the Internet.

What I don't understand is why the asking prices are soooooo much higher than the appraised value and previous sales price given on county's tax assessor website.

For example, I just saw a rehab property for sale that was sold last year for $99k and, according to the county's website, is appraised this year for $78k, but it's now being sold for $124k. What am I missing?

Shouldn't I be offering something lower than the appraised value that's on the Tax Assessor page?

Why on earth would you be doing that?
Most homeowners do not pay taxes on the market value of their home. They pay taxes on the assessor's value. The two are not the same at all.

And if you saw that a rehab property was sold at $99K, wouldn't it be safe to assume that it was sold under the value it could be sold for if it was actually a marketable home? And that now the new owner restored it to move-in condition and is being sold at $124K, a fair market value?
--A

Sounds like you're missing reality.

Take for example your rehab property appraised for 78K and sold for 99K. It's now being offered for sale for $124,000 and you're wondering why.

My guess would be an investor bought the property, may or may not have improved it, and is now trying to sell it for a profit.

The $78,000 tax appraisal usually bears no relationship to the current, fair market value of the property.

I'm an investor. If I buy a house to resell for a profit and I pay, let's say, $100,000 do you think I'm going to sell it to you for $90,000???

No, I'm going to put the house in move in condition, maybe new carpet, paint, and whatever fix up is needed, and I'm likely going to be asking around $125,000 to $135,000.

I may give you a price concession or pay some of your closing costs but I'm going to get pretty close to what I'm asking for my house.

And if the tax appraisal on my house is $80,000 that's good for both me and the new buyer because the 80K figure is what our property taxes are calculated on.

There are lots of very good books about how to buy a house at both bookstores and the public library.

Dude
Sorry Jim has got me saying that.

What state are you in. That may explain some things. For example here in Florida under the Save Our Homes Act ones taxed assessed value can not increase more then 3% per year as long as one owns the property. Then it can be re-assessed at the market value. However taxes are paid in arrears. Therefore one will not see the new value until the second year after purchase and not pay on it till the third.