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Contemplating the appeal of a properties assessed value?

By
Real Estate Broker/Owner with Mission Grove Realty Inc.

I have had only 3 clients that have ever appealed their assessed values. Their results were;1 that was successful in reducing the assessed value by $8,000 (NETsavings to them was +- $80.00 yr) 1that, after review process, the value was left unchanged and 1 that after review was assessed at a higher rate +$12,000.

I would recommend that anyone contemplating the appeal process to do extensive analysys ahead of time, do some more and then be prepared for the possibility that you could end up with an assessed value HIGHER than when you started the process. In places where property tax rates are 1%, a 10k decrease ($100 gross yearly savings) in assessed value may not be worth the time or risk. You must also consider that the 100-200 in annual savings, when itemizing deductions, your net savings will be even less! (Consult you tax preparer or attorney for tax liability)

One (Riverside County, California)  Assessors office employee stated that it is best, when requesting a review, to do so after a transfer.....I must have had that look. After all, there would be not much point in that now, would there? She said that most any material change to the deed would be deemed as a transfer in the Assessors eyes. ie: add spouse, parent, child of leagal age or other to the deed or remove one from a deed with the first being the best situation when requesting an appeal.

(Consult with a tax professional or attorney when choosing to file an appeal with the County Assessor's office)

Randy L. Prothero
eXp Realty - Hollister, MO
Missouri REALTOR, (808) 384-5645

Timely post, we just received our assessments and boy are my neighbors mad.  $20,000 to $60,000 higher than the highest sold property in the neighborhood.  We may have a few challenges this year.

Dec 29, 2006 07:51 AM
Don Fabrizio-Garcia
Fab Real Estate - Danbury, CT
Owner/Broker/Trainer - Fab Real Estate
I never had any issues with property tax assessments while I was in California, since due to Proposition 13, it's based on the sale price.  However, here in Connecticut, my home was assessed for $100,000 more than I paid for it.  I appealed, had the assessment reduced by $100,000, and the savings to me (at our local 19.07 mil rate) is $1,907 per year.  This savings will increase each year, as mil rates increase to cover the town's budget, until a reassessment is done.
Dec 29, 2006 08:19 AM
Doug Beaver
Century 21 Olde Tyme - Corona, CA
Corona Norco Eastvale Riverside Homes
Wow, You would think you could contact a local Realtor first and he or she could run the recent sales. Unless the value has changed a lot I would not go through the process. Remember the 90's in So. Calif. ?
Dec 29, 2006 11:34 AM