In most cases when renovation takes place, additions are made or other improvements are added to the property, the value will increase. However, the cost in dollars of adding an item is not always equal to the value that the item contributes to the total property value. Upon receipt of your assessment notice, you may notice a larger or smaller increase in valuation than the actual cost of the construction. An increase in valuation can be due to variables other than new improvements to the property. It depends upon location, market demand and quality of construction. Cost is not always the same as value.