Property tax dispute: Should you appeal your property’s assessed value in Hempstead County, Arkansas?
House owners in Hempstead County are fully knowledgeable about the problem of property taxes; those that have actually spent their lives in areas where these taxes are traditionally high feel the effect more than most. The effect of these taxes can be even worse for those who have actually lived in their homes for some time, as they have witnessed firsthand the taxes rise every year. The bad news is possibly overpaying your residential property taxes and be entirely uninformed. Here are some common factors people are overpaying their homes tax.
Is your Hempstead County property over assessed?
A high home assessed value is the primary factor that individuals appeal the amount they are paying on their real estate tax. In most cases, individuals feel that the evaluation put on their property does not show the marketplace value ought to they try to sell it today. The most convenient way to find this out is to contact some local realtors. They must have the ability to tell you the range of values comparable properties are selling for in your location. Remember, the real market value of your property will not be realized till a sale is closed. When you receive your house assessed value, you will be provided a 30-day window in which to appeal any appraisal. Otherwise, you will have to wait up until next year to appeal.
Can you get the actual value of your house?
It is probably beneficial to get in touch with a regional property agent or your assessor in Hempstead County, Arkansas. If you feel your property has been badly miscalculated, a professional valuation might prove very economical in the long run
Often people do not realize you are not permitted to challenge your real estate tax bill directly in Arkansas, but you can undoubtedly submit an assessed value appeal, remember that no matter how you feel about the bill, if you do not pay, it can lead to the foreclosure of your home.
To successfully appeal, you will require to reveal at least 3 equivalent properties that have been evaluated at a lower assessment value. The closer these homes remain in size and place to yours, the higher the chance of success you will have on appeal
Specific situations that may have reduced the value of your home
If there are extraordinary circumstances that directly result in the decrease of your property value and these are not reflected in your evaluation, these are clear premises for appeal. Just provide evidence of these circumstances, and the appeals procedure ought to be straightforward.
You have recently purchased your residential property in Hempstead County, Arkansas for less than the assessed value
If you have evidence of the purchase price of your home or you have a recent appraisal that does not show the amount your home has actually been valued at by the assessor, this is clear premises for appeal. If a professional evaluates your property much lower than that of the assessment, this is significant proof to back your appeal. You can always pay for a new appraisal although this will cost a couple of hundred dollars it could be worth it in the end. The bright side is that you do not have to accept a high property assessment; you can always appeal and get them decreased in the process.
How do you appeal your property assessment value in Hempstead County?
Every State has their own requirements for home assessment value appeals. One thing they all have in common; the only argument that they will accept is that your residential property has been evaluated higher than it‘s worth. As your Hempstead County house taxes are computed basically by multiplying the assessed value of your home by its areas set tax rate, you do not have any premises to appeal the tax rate just the property assessed value. Your only opportunity of approach is to show your home is not worth the value the assessor thinks.
On receiving your home assessed value, your county will provide you a predetermined window in which to appeal. These can differ significantly from 30 to 90 days so your county appeal deadline is the first thing you want to determine. However, keep in mind if you miss this due date there’s absolutely nothing you can do, and you will be required to wait a more year for a chance to appeal your real estate assessed value!
The fastest and most convenient method to submit an appeal in Hempstead County is to do so on the assessment website of your county, town or city. The costs associated with each appeal can vary depending on the initial value of your home assessed value. The expense of an appeal varies could be as little as $10 to $100, depending upon where you live.
The first step in the procedure is to guarantee that your local tax assessor has included the proper house info to start with. In some cases, facts on your home may be in error such as, houses have actually been lifted with basements that do not exist; such examples are wrong and could cause your home value being reduced immediately. The more information that you can gather regarding why you feel your house is miscalculated, the stronger your case for an appeal.
If there are no recognizable issues with the details on your property, you will need to find details of equivalent homes in your neighborhood that are assessed at a lower value. This will be the most convenient way to prove your case. You will want to discover 3 or 4 houses that are all the same size as yours, in the same area, whose value is much less lower than your own; this will be your grounds for appeal.
In some areas, you’ll be asked to participate in a property appeal hearing, so if this does happen, don’t be frightened. In general, these hearings are just called to enable you to present the info you‘ve collected in support of your claim. You will likewise be allowed to take a look at any incorrect information that might be on file about your residential property. You ought to be prepared for this hearing and have all the data you‘ve collected about comparable homes and sales of comparable houses in Hempstead County.
Be prepared for the tax assessor to argue his/her counter-argument. Among the most popular ones here is that your home in concern is more contemporary than the ones you’re comparing it to. Be prepared for such an argument because if you get to this point, the Assessor believes you are not deserving of a reduction in assessment and will want to win his/her case by embellishing on the facts to support their case. It’s is always important to remember that there are no additional penalties connected to submitting an appeal; the worst result being that your house assessed value is the same.
Is it worth submitting an appeal?
If you really feel that your house has actually been overvalued, an effective appeal of your Hempstead County house assessment value could result in substantial savings. If there are only a few hundred dollars of potential savings, it may not deserve your time. You also need to consider that the hearing could be arranged during a workday, which may result in a loss of earnings. Find out as soon as possible when the hearings take place, and will it be a teleconference or in-person hearing. This way you can make the appropriate arrangements to reduce wage loss.
How Property Taxes Are Calculated On A Home
Property tax is probably the fairest tax collected by municipalities. However, it is also probably the un-fairest tax collected by municipalities.
The state where an individual lives determines how much they pay, which may be higher or lower. An individual's economic status can also be a factor in how this type of tax impacts their pocketbook.
In fact when it comes to the decision on taxes and renting versus owning, this may be the only time renting is the best option. States collect property taxes on:
- Improvements to land such as additions to property
- Man made objects that are not stationary structures
It is usually assessed by individual county tax collectors in each state. Land and property are mailed tax payment notices that are the result of appraisals of the property's value. Notices of assessments can be disputed by contacting the tax collector in the land owner's county, and the tax bill is typically paid from a homeowner's escrow amount on their mortgage.
As mentioned, property taxes can disproportionately affect some homeowners. Increases in a state's tax rate can often double or even triple a homeowner's tax liability and often leave them with no option but to sale their residence or land.
Critics of this form of taxation have also decried the fact that it does address the situations of some individuals. Although it is ordinarily paid as part of an escrow account, increased property tax means they would have to pay more into escrow.
Senior citizens on a fixed income have been identified as a group sometimes hit hard by taxes on their property. Such individuals may have high taxes due to an increase in the value of their property, yet find them selves unable to pay because of a reduced income during retirement. This mandatory tax, in some cases, does not take into account factors that may impact someone's ability to pay, such as personal tragedy or acts of nature.
Property tax has also been criticized because of the difference individuals must pay between states. Alabama has the lowest rate at 1.3 percent on property value, while New Hampshire has the largest at 4.9 percent. The average percentage among is somewhere in the range of 2.3 percent.
While Alabama has a tax rate of 1.3, which would seem to make it an attractive location for a home or business owner, someone with property a few feet away in neighboring Georgia would have to pay 2.6 percent, and more than double in Florida with a tax rate of 3.1 percent.
Just how to spend the revenue (or waste it, as is the case with many governments) generated by taxing property values is determined by state legislatures. A state's legislature also has say over reducing or raising the tax rate along with determining how often it should be collected. Additionally, there may also set limits on how much increase, if any, there can be every year.
Property tax definitely helps states with revenue. But while much needed, property tax can also be a deciding factor in where an individual lives or their ability to retain the American Dream of owning land.