Tips and Tricks
DID YOU KNOW?
Studies suggest as much as 40-60% of homes in the US were already over-assessed prior to the burst of the property bubble in 2007 and 2008.
Assessment Equity is another basis for appeal
A home may be valued correctly, but others around it might be valued much lower. Your home should not be assessed for more than similar homes nearby. Assessment equity issues crop up most often in subdivisions.
Don't only search for the lowest priced comps
A home that is much nicer than yours that has a similar property tax valuation could be as strong a comp as a home that is not as nice as yours and has a lower valuation.
Don't get emotional in front of the Appeal Board members
Your presentation should be clear and concise and not rely on anyone's opinion. Don't present trivial or nonessential material just because you have it.
The Appeal Board members didn't create the system and can't change it
Don't attack the tax assessors or the tax system. This is not the time for philosophy or politics. Stick to the key facts that show your home's valuation is too high compared to other similar homes.
A property's need for routine maintenance isn't enough
All property suffers from normal wear and tear. However, you should certainly provide picture of out of the ordinary damage to your property that reduces its value.
Only rely on the facts
Don't base your appeal on personal judgments of your friend in the real estate business. Refrain from starting any sentence with “My friend the real estate agent thinks that…” You must rely on facts only.
Problems in the national economy are not relevant
You may include a statement in your appeal on how recent changes in your immediate neighborhood may have affected your assessment. (A school closure, loss of a major local employer, etc.) However, don't base your appeal on national or even regional economic conditions you hear about on the news at night.
Construction costs don't count for much
Don't base your appeal only on how much your house cost to build. Properties are rarely assessed at what they cost to build. The assessor will assume you may have paid too much and construction costs vary widely over time. Finding the right comps will always be a better argument.
Construction permits often trigger reassessment
Painting your home or weeding your garden probably won't affect your assessment. Obtaining a construction permit to remodel your home, add a new room, or build a new garage will usually trigger an increased assessment during the next assessment cycle.
Don't wait for your new assessment in the mail
King County homeowners have until 60 days after the post mark on the new property tax assessment postcard they get in the mail. However, sometimes these postcards get lost or overlooked. You can look up your new assessment on ValueAppeal and file your notice of intent to appeal today.
Always appeal on both Market Value and Unequal Appraisal
Even if your property is assessed for less than market value you can probably reduce your property taxes. The Unequal Appraisal method compares the assessed value of your property to the assessed value of similar properties. Many, if not most, property tax appeals focus on Unequal Appraisal in addition to or instead of Market Value.
Assessment Ratios are used to confuse you. Don't be fooled.
Many counties assess properties at an amount less than 100% of market value. For example, your county may assess properties at 75% of market value, so a $300,000 home may be assessed at only $225,000. When the unsuspecting homeowner receives their notice of a new assessment of $225,000 in the mail they mistakenly assume that means the county thinks the market value of their home is $225,000. If the true market value of the home is actually only $225,000, then the assessed value should actually be $168,750. Using unequal appraisal, the county tricks homeowners into accepting a higher valuation without challenging their property tax bill.
