Appeal tax assessment: Should you appeal your property assessment in Houston County, Tennessee?
Homeowners in Houston County are fully familiar with the burden of property taxes; those that have actually invested their lives in locations where these taxes are typically high feel the impact more than the majority of. The effect of these taxes can be even worse for those who have actually resided in their residential properties for a long time, as they have actually seen firsthand the taxes rise year after year. But the bad news is perhaps overpaying your property taxes and be completely uninformed. Here are some typical factors individuals are overpaying their homes tax.
Is your Houston County property over assessed?
A high home valuation is the primary factor that individuals appeal the amount they are paying on their property taxes. In most cases, people feel that the appraisal put on their residential property does not reflect the marketplace value need to they try to offer it today. The most convenient way to find this out is to call some local real estate agents. They ought to be able to inform you the series of values equivalent homes are selling for in your location. Keep in mind, the actual value of your home will not be realized till a sale is finally closed. When you receive your home assessment, you will be provided a 30-day window in which to appeal any evaluation. Otherwise, you will need to wait until next year to appeal.
Can you get the actual value of your house?
It is probably beneficial to contact a local property agent or your assessor in Houston County, Tennessee. If you feel your property has been significantly overvalued, an expert appraisal might prove extremely economical in the long run
Many do not know you are not allowed to challenge your real estate tax bill in Tennessee, however you can certainly lodge an assessment appeal, remember that regardless of how you feel about the expense, if you do not pay, it can lead to the foreclosure of your home.
To effectively appeal, you will need to reveal a minimum of three comparable residential properties that have actually been evaluated at a lower value. The closer these homes remain in size and location to yours, the higher the chance of success you will have on appeal
Particular scenarios that may have actually decreased the value of your home
If there are extraordinary situations that straight result in the reduction of your residential property value and these are not reflected in your property assessment, these are clear premises for appeal. Just provide proof of these scenarios, and the appeals procedure should be straightforward.
You have just recently bought your residential property in Houston County, Tennessee for much less than the assessment value
If you have proof of the purchase price of your home or you possess a current appraisal that does not reflect the dollar amount your home has been valued at by the assessor, this is clear premises for appeal. If a professional evaluates your home much lower than that of the tax assessment, this is substantial evidence to support your petition. 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 reduced in the process.
How do you contest your property assessment in Houston County?
Every State has their own criteria for home assessment appeals. Something they all have in common; the only groungs that they will accept is that your property has been evaluated higher than it deserves. As your Houston County home taxes are determined basically by multiplying the assessed value of your house by its locations set tax rate, you do not have any grounds to appeal the tax rate just the property assessed value. Your only avenue of approach is to show your house is less than the value the assessor thinks.
Upon receiving your house assessed value, your county will give you a predetermined window in which to appeal. These can vary substantially from 30 to 90 days so your county appeal deadline is the first thing you want to determine. However, remember if you miss this deadline there’s nothing you can do, and you will be forced to wait a more year for an opportunity to appeal your house assessment value!
The fastest and most convenient method to file an appeal in Houston County is to do so on the assessment website of your county, town or city. The costs related to each appeal can vary dependent on the preliminary value of your real estate assessed value. The expense of an appeal differs could be as little as $10 to $100, depending upon where you live.
The first step in the process is to guarantee that your regional tax assessor has included the right property info to start with. In many cases, facts on your home may be in error such as, houses have been raised with basements that do not exist; such examples are wrong and might result in your home value being lowered immediately. The more details that you can gather as to why you feel your house is overvalued, the stronger your case for an assessment appeal.
If there are no obvious concerns with the information on your property, you will need to discover details of similar homes in your neighborhood that are assessed at a lower value. This will be the most convenient method to prove your case. You will want to find three or four houses that are all the same size as yours, in the same area, whose value is much less lower than your property; this will be your premises for appeal.
In some areas, you’ll be asked to participate in a real estate appeal hearing, so if this does happen, do not be intimidated. In general, these hearings are simply contacted us to permit you to provide the info you‘ve collected in support of your claim. You will likewise be enabled to examine any false information that might be on file about your residential property. You must be prepared for this hearing and have all the information you‘ve collected about similar houses and sales of comparable houses in Houston County.
Be prepared for the tax assessor to argue his or 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 stage, the Assessor believes you are not deserving of a reduction in value 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 outcome being that your property assessment is the same.
Is it worth filing an appeal?
If you genuinely feel that your house has actually been overvalued, a successful appeal of your Houston County home assessment value might lead to significant cost savings. If there are only a few hundred dollars of potential cost savings, it might 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 profits. 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 arrangements to possibly eliminate wage loss.
Prorations - Real Estate Tax and Property
To prorate means to divide something so that each person pays her fair share. The real estate term for dividing expenses that are paid after they are incurred or are prepaid is called prorations. For example, sometimes real estate taxes are paid in arrears. This means that they are paid currently for the year before. The practical effect of this is that the buyer will in many cases get a tax bill for time when she did not own the house and therefore was not responsible for the taxes.
An example will make this easier to understand. Let's say you closed on the house you bought on August 31, 2007. You are responsible for 4 months worth of real estate taxes for 2007. Unfortunately, the tax bill does not arrive until May of 2008. This is where prorations come into play. At the closing, you will be responsible for 1/3 of the tax bill that will arrive in May, 2008. That means the seller will give you, the buyer, an amount equal 2/3 of the agreed to prorated tax amount and you will pay the real estate tax bill.
The tricky part comes about because real estate taxes always seem to be going up. This is usually handled as part of the negotiations. The buyer will ask for an amount based on the seller's last year's tax bill plus a small percentage, usually 5 or 10% extra, and some agreement will be reached.
An unusually large increase in the real estate taxes due to a reassessment, rate increase or both can further complicate matters. With the gains in real estate prices in the recent past, many taxing bodies have become eager to capture at least part of that gain. So it is buyer beware and make sure you check with the local taxing authorities.
Prorations can also be used to adjust for any expenses that have been paid by the seller ahead of time, such as prepaid mortgage interest, prepaid casualty insurance, or such items as rent or utility bills.
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