I know everybody involved in real estate, or who owns real estate has been anxiously awaiting the new assessment figures for 2006 payable 2007 taxes.  Or at least I hope you know that these numbers will differ from what they were for 2005.  The townships in the region have been working feverishly to complete data collection and submission of sales data for their districts to the State for the purpose of trending assessments.

The assessors are hoping to release Form-11's (Notice of Assessment) in 30-45 days according to a reliable source. 

As a property tax specialist, I keep a close ear to the ground when it comes to this issue.  I have been fortunate to review unofficial figures for many of my clients.  If the state approves the proposed values the general "trend" is UP.  What does this mean to taxpayers?

The first reaction is generally that taxes will go up as well, but that is not necessarily the case.  In THEORY...if every assessment within a particular taxing unit is trended the same percentage, and the annual budget remains unchanged, the tax rate will decrease a corresponding percentage thus keeping the actual net tax levy the same.

In the real world however, I believe that there will be an unequal change between commercial, residential and agricultural.  I predict that commercial property will experience a larger trend than residential, and residential a larger trend than agricultural, thus shifting the tax burden from 1. Ag to Res, and 2. Res to Commercial / Industrial.  People need to be prepared to deal with this, especially owners of income producing property ie: rental homes, apartment complexes, office and strip centers.  Fluctuations in property taxes can make or break income property.

I encourage everyone to spread the word.  Attn: Property Owners, Realtors, CPA's, Attorney's, Property Managers and Homeowner's...You have 45 days to appeal your assessment from the time you receive formal notice.  Don't let that window pass by.  If you don't know what to do, please give me a call.  I can help!