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Compensation, in numbers

How Eminent Domain Compensation Is Calculated

Every figure sourced and dated. Updated 2026-09-02.

The constitutional standard is fair market value: what a willing buyer would pay a willing seller, generally proven through comparable sales. For a partial taking, the formula changes to value before the taking minus value after, since a partial taking can also damage the value of what is left behind.

Why the first appraisal is not the last word

Agencies typically appraise the property and make a written offer 2 to 3 months later, but that number is a starting point for negotiation, not a final one. One tracked North Carolina highway project settled properties appraised above $100,000 for $305,960 to $380,414, and properties appraised under $100,000 for $28,045 to $37,813, once owners negotiated. That is one project's data, not a national average, but it shows the gap between an initial appraisal and a negotiated settlement is real and can run into five figures even on modest properties.

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What a lawyer costs if you negotiate. Back to Eminent Domain.

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Sources for every figure on this page