What is reassessment?
A reassessment is the process by which the assessed value of real estate property is revised to keep the value consistent with what the property is worth on the open market and to assess properties fairly in comparison with each other.
Property assessments are intended to reflect market values at the time of reassessment. Between reassessment periods or revaluations market values change. The value changes may happen for a variety of reasons: appreciation and value declines (i.e., equalization changes); structural changes (additions, remodeling); re-zonings, and land divisions (i.e., growth). A combination of these factors can apply to the same property.
How will a property value be determined?
A residential property value is determined by collecting the characteristics of each property and comparing these characteristics to similar properties in comparable locations that have recently sold. Adjustments for differences in properties are then made to arrive at a market value for the property. Internal Inspections are part of the process. There is a greater advantage in letting an inspector into the property (the inspection takes between 5 and 15 minutes). If no inspection is able to take place, the inspector assumes there are upgrades and his report will reflect that and result in a higher assessment which can be appealed. For commercial and industrial property, rental income and expenses are also considered in the valuation process.
What property information is collected during the reassessment?
For residences, information such as location, lot size, topography, zoning, square footage, style, grade of construction, condition, number of bathrooms, garage size and type, number of rooms, basement type, year built, effective age, porches, decks, pools, other improvements and view. Commercial and industrial properties may also consider building height, type of construction, loading docks, sprinkling systems, etc.
Will a reassessment affect my property taxes?
Until the reassessment is nearly complete, it is impossible to determine how the taxes on an individual parcel will be affected. Typically, taxes on about one-third of the parcels will increase; another one-third of the parcels will see taxes decrease, and taxes on the remaining one-third will stay the same.
If the assessed value of your property increases, this is still no guarantee that your taxes will increase. A Taxes due are determined by multiplying the millage rates by the assessed value.
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