Real Estate Crash thread

[Skistack]

Ours increased 27% (just received the valuation notice yesterday) and the current value seems pretty close to what things have been selling for...

Same here. I’m $25k under the current Zillow estimate, but I’m still going to pull comps and run the numbers.


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[summit]

TL/DR; it’s a pain but it can be successful if you are arguing about basic facts for the properties. Appealing because you feel the cost is too high based on comps or the fact that it’s a lot higher than it was seems to rarely be successful.

Instead of comps, what if I have an actual certified appraisal from with a couple months of the target date?? I had the place appraised 7 months prior to the assessor's target date while the assessment is 30% higher than the appraisal.

[altasnob]

Certified appraisals, like any appraisal, can be manipulated. Contact your county and ask for the "how do I challenge my property tax appraisal" packet. It will tell you exactly what you need to do, what type of evidence is allowed, and all the applicable laws and procedures (it varies in every state). It is written for all the anti-government, anti-tax, people who repeatedly challenge their appraisal every year.

I'm curious for those who have successfully challenged their appraisal how much money they saved and whether they thought it was worth the effort?

https://www.summitcountyco.gov/382/Appeals

[Danno]

Instead of comps, what if I have an actual certified appraisal from with a couple months of the target date?? I had the place appraised 7 months prior to the assessor's target date while the assessment is 30% higher than the appraisal.

I couldn't tell you for sure, but I don't think the appraisal itself will be enough, though I assume that you can submit it as some evidence in your appeal. But the appraisal relies on comps, so you should compare the comps your appraisal used and the ones the assessor used. Assuming they are different and the comps the appraisal used are reasonable, you might have a good case. And the fact that the appraisal was done for your specific property and thus was less automated and more personal, may make using those comps more persuasive.

The assessor's office should have plenty of easy to understand info about appealing. As I already stated, I have done it a number of times and it doesn't take that much time. You could appeal in just a few minutes, though to be successful you do have to dig into the data a little bit. I saved a few hundred dollars each time I was successful.

The "first" appeal is super easy, but if you lose and want to appeal to the board, that takes more time. I never went through all the way with that, but did try once and had the assessor settle with me on a middle amount before the hearing.

[mud]

In some counties you can get a senior discount if one of the owners is over 65. One reason I added my 90 year old parents on Title.

[Tips^Up]

There is a lot of bad information and guidance in here on how to appeal property taxes...

It's not hard, especially if you've been doing it professionally for 12 years like I have.

If anyone is interested in appealing your taxes in CO, PM me. This is what I do. We should all pay our fair share, but not a cent more than that!

[Shredhead]

^^
I might hit you up when I get home next week and see how much it’s increased.
The first two rounds of appeals are pretty easy. It’s the last one, where professional representation can really help.

I had a historically designed Victorian,
that we had to determine the value of the encumbrance,which the assessor didn’t take into account.


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[simple]

Got my CO assessments yesterday. Still one of the cheapest property tax rates in the Country. Road improvement projects all over the place and more and more bike lanes. Just finished a bridge rehabilitation construction project locally that gives people access to the creek. Take it and spend it CO because the rate of folks moving here isn't gonna slow down.

[altasnob]

There is a lot of bad information and guidance in here on how to appeal property taxes...

It's not hard, especially if you've been doing it professionally for 12 years like I have.

If anyone is interested in appealing your taxes in CO, PM me. This is what I do. We should all pay our fair share, but not a cent more than that!

What specific bad guidance was posted? How much do you charge and how much do you win? Seems like a lot of work for save a couple hundred bucks a year. And I am curious how many people are actually successful, because around here, assessments are almost always less than market value.

[Name Redacted]

There is a lot of bad information and guidance in here on how to appeal property taxes...

It's not hard, especially if you've been doing it professionally for 12 years like I have.

If anyone is interested in appealing your taxes in CO, PM me. This is what I do. We should all pay our fair share, but not a cent more than that!

Our place has always been assessed at a value well under what it is actually worth. So how do you figure out if it is worth the effort to appeal?

[spanky]

Our place has always been assessed at a value well under what it is actually worth. So how do you figure out if it is worth the effort to appeal?

Tax assessment is relative to other properties in your taxing district. Not necessarily what the property is worth.

In my town, assessments rarely happen so the town applies an equalization ratio against appraised value to calculate assessed value.

https://www.taxmypropertyfairly.com/...y-tax-websites

Best comparison is against recent sales of similar properties. It you can prove your home would sell similarly (possibly with an appraisal by a certified appraiser), and the comps have lower assessments, then you have a case to be “brought in line”.

[frorider]

Our place has always been assessed at a value well under what it is actually worth.

…

[Name Redacted]

…

I might have to start doing that. Spoke too soon and jinxed myself. Our assessed value went up $450k this time. Damn!

[ColMan]

43% assessed value increase here. Fack! Appeal time.

[liv2ski]

It is pretty impressive if the closed sale comps support a 40% increase from 2022, as my house is down at least 10% in value from last year (all time high).

[Mazderati]

Portland, ME rents. The only filter is for 2+/1.5+.

[JaytaeMoney]

^^
I might hit you up when I get home next week and see how much it’s increased.

I believe you're in SMV if memory serves which means your assessed value increased somewhere between 2-3x.

I sent in my dispute form this morning, I'm sure in some cases these huge increases are real and justified but in my case it's comical how far off they are. Took me two minutes on the MLS to pull the only three relevant comps in my neighborhood which sold during the assessment period. Should knock hundreds of thousands of dollars off of my value.

[smmokan]

It is pretty impressive if the closed sale comps support a 40% increase from 2022, as my house is down at least 10% in value from last year (all time high).

IIRC, the assessed values are *as of* June 2022... not since June 2022. So they're showing an increase from mid-2020 until mid-2022, which is totally realistic. Mine went from $580k to $925k, which is fucking nuts. But if I listed our house last summer for $925, we would have had 30 offers within the first hour on the market so I can't really argue (our neighbor sold their house for $1.2mm during the peak).

[goldenboy]

^^ Yeah, they really nailed the peak in June '22. (although I think most CO markets have been flat since then, and not dropping significantly). I just got mine and it was up almost 50%, but it's also way under what I would list it for today (probably by 25%). I should probably thank my neighbor for taking a cash offer despite having several offers for a lot more money but they stupidly didn't think it would appraise. It's an identical unit so that probably helped me a lot.

[Tips^Up]

What specific bad guidance was posted? How much do you charge and how much do you win? Seems like a lot of work for save a couple hundred bucks a year. And I am curious how many people are actually successful, because around here, assessments are almost always less than market value.

Lots. Depends. Every time. The breakeven is actually very low, lots of people value their time, don't understand the complexities, just want someone to handle it.

If you think your house is worth less than the assessment, don't appeal! In every other case, it's probably in your favor to at least try. The only consequences are potentially raising (if you ignored the first part of this paragraph) and wasting everyone's time.

[Ted Striker]

(although I think most CO markets have been flat since then, and not dropping significantly)

That's here as well. I really want to challenge our assessment on the basis that it contains factual errors (an extra bathroom that doesn't exist for starters) but based on comps it could go the other way.

[jackstraw]

That's here as well. I really want to challenge our assessment on the basis that it contains factual errors (an extra bathroom that doesn't exist for starters) but based on comps it could go the other way.

Only first class bathrooms and none for coach?

[Flounder]

That's here as well. I really want to challenge our assessment on the basis that it contains factual errors (an extra bathroom that doesn't exist for starters) but based on comps it could go the other way.

Again, this is based just on my experience in BTV so it may vary. I would absolutely get factual errors corrected because it will impact not only this but also future adjustments. For us the city reassessed all properties at the same time so they used “overall comps” to set the algorithms for determining value of all properties. They didn’t compare each house to a set of comps.

We got them to adjust the size because it was 15% over and they had assessed it at $450k, up from $280k. Based upon my pro rata calculation I asked that it be reduced to about $410k. When the city assessor ran it through the algorithm he came back with a value of $398k. Comps didn’t play a role, just size, beds, baths, lot, and condition that he plugged into his computer.

[Shredhead]

I believe you're in SMV if memory serves which means your assessed value increased somewhere between 2-3x.

I’m in Melton Ranch. 130% increase.


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[frorider]

https://www.theguardian.com/us-news/...ces-increasing

With infographics!