The BAD news is that virtually every homeowner in the United States has seen the value of their home drop in value this past year. The GOOD news is that this may lower your real estate taxes. Let the current down turn in real estate values work to your advantage by reducing your real estate taxes.
How do you reduce property taxes?
In theory, it is pretty simple. If you reduce the value that the assessing authorities put on your property, the taxes will go down (unless the tax rate rises more than the value goes down).
There are some additional details that have to do with possible exemptions which may be allowed in your jurisdiction (widow/widower, veterans, retirees, old age, etc.)
Making it happen takes skill, time, and dedication in gathering, documenting and submitting the required supporting information.
You have to prove to the assessing authorities that the value of your property is less than they say it is.
All states and many local jurisdictions have different laws, rules, regulations and steps that have to be followed, so that a valuation appeal does not fail because of some technicality.
You need to check for the assessor’s accuracy of facts, such as overall size, number of rooms, number of bathrooms and fixtures, age, materials, roof type, lot size, zoning, etc. so that any errors can be corrected. Sometimes if you discover an error you can obtain retroactive corrections and tax refunds.
In addition, you have to gather convincing data and information supported with appropriate PROOF that your property is over-valued according to local laws and regulations. If not, you may be at risk of an inequity because your property is over-valued when compared to “similar properties similarly situated”.
Also, play close attention to local rules and practices. Most areas value the property at “full market value”, but some use a lower percentage (for everyone), which may lull you into a false sense of security. Some areas have different classifications for different uses – residential, commercial, vacant land – and these need to be correct.
Is this something I can do myself, or do I need the expertise of a professional to help me?
It is certainly something you can do yourself. You need to understand the rules and the process, and be careful, diligent and smart in your work and documentation.
What do I need to do to get you to reduce my real estate taxes?
Go to our website http://dwbcpa.com and complete the forms in regard to your property and method of payment. We will complete this process for you. We can quickly determine if your property will be assessed at a lower value. If after this assessment, we determine that we can not reduce your property taxes, we will immediately refund any money you have paid to us. If we prepare the documentation and paperwork to reduce your real estate taxes and the taxing authority does not reduce your taxes, we will refund all fees paid to us for this service.
If you have any questions, please call Dave at 909.866.2670. We look forward to working with you to reduce your real estate taxes.
