As lender-based appraisals have declined over the past year, appraisers started to lean on alternative avenues of appraising such as appraisals to contest property taxes. As markets decline across the US and taxes remain stable, this would seem to be a logical direction for any appraiser... But look carefully at your market before you redirect your energies and advertising dollars.
According to the Portland Tribune: "About 2,700 property owners appealed their 2008-09 property tax bills to the Multnomah County Board of Property Tax Appeals by the Dec. 31 deadline, up from 1,078 last year, said county spokesman Shawn Cunningham. Most of those appeals are unlikely to prevail, said Multnomah County Assessor Randy Walruff. And many homeowners will face sticker shock when they get their 2009-10 property tax increases this fall, even if home values continue falling."
This is thanks to a property tax limitations bill that passed back in 1996 which set a 3% cap on annual increases in assessed property value. This means that if you live in Multnomah County and your house was built over about four years ago, you likely have an assessed tax value that is still lower than the market value of your home.
However, if you have a newer construction or recently purchased a home that you have improved upon since the purchase date, you may be in that small percentage of home owners that is paying a higher assessed value than your home is worth.
If you live in Multnomah County, you can see a breakdown of your tax assessed values by going to Portlandmaps.com. Here are some other surrounding county web sites:
Property owners; If it appears your tax assessed value is higher than the market value, then it is a good time to seek out an appraiser.
Appraisers: If you consistantly find the tax assessed values in your area to exceed existing market values, perhaps tax contesting appraisals are in your future calling.
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