What to Know About Your Assessment
Over the last few weeks, you may have received a property assessment issued by your county, informing you of your home's new value. I've received a lot of calls from clients inquiring about their new assessments, so I wanted to take a moment to reach out to you with some more detailed information.
What to know about your assessment:
1.) You have until June 1st, 2017 to postmark a protest / appeal to your value.Depending on your county, you may be able to submit your appeal online, via mail, or in person. You can find the appeal information for your county on the Assessor page on the county website (also found below).
2.) Assessments are calculated using the cost, market, and income approaches to value. Appraisers use the sales of homes similar to yours within a given time period to arrive at an "actual value" for your home. The "assessed value" is then determined using an assessed percentage of the actual/market value of the home. The current assessed percentage rate in Colorado is 7.96%, but this percentage can change annually.
3.) Appraisers study sales in your area to provide a value on your home. These comparable homes are found by researching sale price, age, size, and square footage, among other factors, of similar homes sold in your neighborhood. Adjustments are always made for contrasts from one house to another (garage, basement, additional bedroom or bathroom, etc.), but there is a basic comparable criteria that is used.
4.) The valuation period used for your most recent assessment was a 24-month period beginning July 1, 2014, and ending on June 30, 2016. The valuation is used for taxation only. This is not a representation of what your home should or could sell for in current market conditions.
5.) Taxes aren't always a negative thing. Property tax is important to our communities because it contributes to local government, police, firefighters, road construction and maintenance, park and recreation areas, and public transportation, among others. Your property taxes help to fund the things that maintain and improve your community every year.
You can find more about your county's assessment process by clicking on your county's link below:
I hope that this helps to clarify your recent property assessment. Please feel free to contact me with any questions you may have about your home's value or the comparables that were used. Also, if this assessment has you considering selling your home, please let me know and I can prepare a net sheet for your potential sale.
Thank you very much. I hope you are doing well, and I look forward to connecting with you soon.