Are you looking to appeal your property tax? Property value and property taxes are a couple of the most confusing things to a homeowner. They are both tied together and both seem to be completely arbitrary.

That’s both a bad and a good thing.

It’s bad because it means that you could be paying more than you should. But, at the same time, it means that you have some wiggle room there and may be able to pay less. So, a good thing.

There is a process wherein you can appeal your property taxes so that you can pay less. Not everybody is successful but it is usually worth a shot.

Hiring a lawyer who specializes in property taxes such as Ryan Gibbs will give you an advantage but you can do this yourself if you feel like you can handle it.

In this article, I will go over the steps required to appeal your property tax bill.

How To Do It

As homeowners, one of the largest expenses we face annually is property tax. It’s no secret that property tax is a significant source of revenue for state and local governments. The National Taxpayers Union reports that property taxes bring in over $500 billion in revenue each year. In fact, the average household pays more than $2,000 in property taxes annually.

So how is your property tax calculated? Property tax is based on the assessed value of your home, which is the estimated market value of your property. This value is determined by a local tax assessor who takes into account factors such as your home’s size, location, and condition. Once the assessed value of your property has been determined, the tax assessor will multiply it by the tax rate for your area to calculate your property tax bill.

Grounds for Appealing Property Tax Assessment

If you feel that your property tax bill is too high, you may be able to appeal the assessment. There are several grounds on which you can base your appeal.

One basis for appeal is an incorrect assessment. If you believe that the tax assessor made an error when determining the assessed value of your property, you can appeal on the grounds that the assessment is incorrect.

Another basis for appeal is unequal assessment. You can appeal on this basis if you can demonstrate that your property has been assessed at a higher value than comparable properties in your area.

Excessive assessment is also a basis for appeal. If your property tax bill is significantly higher than the tax bills of other properties in your area, you can appeal on the grounds that your assessment is excessive.

Finally, if your property has been damaged by natural disasters, fires, or other events, you may be able to appeal on the grounds that the assessed value of your property has been affected.

Preparing for the Appeal

Before you appeal your property tax assessment, it’s important to gather all the necessary information and documentation to support your case. This includes recent appraisals of your property to determine its current market value and identify any factors that may have affected its value. Additionally, you can gather information on recent sales of similar properties in your area to demonstrate that your property has been assessed at an unequal or excessive value.

You should also review your tax assessment documents to identify any errors or discrepancies in the assessment. If your property has been damaged, gather reports and documentation from experts to support your claim.

Appeal Your Property Tax

Once you’ve gathered all the necessary information and documentation, you can file your appeal with the local tax assessor’s office. Be sure to follow all of the instructions for filing an appeal, which may include completing specific forms and providing copies of your supporting documentation.

During the appeal process, you may be required to attend a hearing to present your case to the tax assessor. It’s important to be prepared for this hearing and to provide clear, compelling evidence to support your appeal.

Appealing your property tax assessment may seem daunting, but it could save you thousands of dollars each year. By understanding how your property tax is calculated, identifying the basis for your appeal, and gathering the necessary documentation to support your case, you can increase your chances of a successful appeal.

Challenge the assessment

Once in a while, you will receive a letter from the city or town in which you have your house. It’s a letter of assessment in which the authority in question lists the information about your property.

Usually, it includes things like the lot size and how the property is used.

The most important thing in the letter is the assessed value of the property. It will give you the cost of the property tax based on the value times the local tax rate.

Property value almost always increases over time so you should expect this assessment to be higher than it was in the previous letters that you’ve gotten.

However, if the value seems to have jumped up higher than the average in the past it should set off some alarm bells.

When you receive the letter, the local tax authority will give you a timeline in which you can contest the findings. Make sure that you send a letter back right away that contests the assessment.

Appeal Your Property Tax

There are often mistakes in the letter of assessment so make sure that all of the data listed is correct.

They may have declared your property to be bigger than it actually is and this is what accounts for the higher value than you would normally expect.

When you spot inconsistency and then send off the challenge to the assessment, this may be over and done with at this point.

You may not even need to appeal as it is clear there was an error in the assessment and it will be remedied.

Present your case

If the assessment doesn’t come down in your favour then you should file the appeal.

You’ll go before an independent board and have to present the case that the value of your property has been improperly assessed and give them the reasons that you think so.

Just keep in mind that it is the assessment that you are appealing to and not the tax rate. You won’t get a lower tax rate but can lower the assessed value of the property so your tax bill will be lower.