April 26th, 2009
For those who really like to push it to the last minute...
Here is what I'm finding as I write my support for property tax appeals.
A 27 acre residential outlot in an outer ring suburb is assessed at $33,600
per acre. My valuation came in 76% LOWER. The last development land
purchased in the community was negotiated in 2002-2003. I don't know where
the $33,600/acre came from.
My analysis demonstrated that the value as development land is $4,200 an
acre. I actually valued the property at $8,000 an acre as agricultural land
because this region has excellent farm land. I was fortunate to find a close
by agriculture sale that has no building rights. Odd as at seems, while my
client's property has an old preliminary plat approved for 60 lots, as an
outlot, they can't even build one house. Even given that the land is still
farmed with no development activity, the Assessor has it classified as
Residential Non-Homestead when the rules clearly state it should be
Agriculture Non-Homestead. The misclassification kicks it up into a higher
tax rate, irregardless of the value.
In one subdivision I'm helping to appeal what few lot sales that occurred
were were all below assessed value. In another development the lots are
valued at $100,000 and there were NO lot sales during the prior year to base
the valuation on. This is a community that has some new home sale activity,
but the builders all bought ahead on the lots a couple years ago. These get
interesting to value as the newer home foreclosures play a big part in these
Your time is really up. If you've been sitting on the fence about your 09'
tax appeals call Laurie TODAY at 763-420-4757.