Newsflash: Buying out partner – what sales price to pick when buy out amount is known?

I currently own a single family home with one other person, we have agreed for me to buy the other party out for a sum of $20K. The house was purchased for $520K two years ago (still have to get an appraisal done, but safe to assume it will be for more than $520K). Is there a sales price that is more advantageous than others (tax reasons, property tax assessments, future sale marketability)?There is ~$450K left on the mortgage, which I will be refinancing myself. It seems that all that really matters is that I refinance the remaining balance in my name, and write a check for $20K to the other party. What is common/best practice for picking a sales price that will go on the deed/records?Thanks-

Read more at https://www.reddit.com/r/RealEstate/comments/6p90di/buying_out_partner_what_sales_price_to_pick_when/?utm_source=ifttt

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