If my home's tax assessment has just gone up $10,000 does that mean in a sale it would be worth more aslo?

Question

We just got this year's assessment and our $67,000 assessment of last year just went up to almost $80,000. We are planning to sell within the next year. Does this mean the property is now worth $10,000 more?

Answer 1

Not necessarily. According to the Assessor's office your home is going to be worth more every year and therefore they're entitled to more taxes if they increase their estimated value of your home. The market is the determining factor as to what your home is worth. To get a good estimate of that check out sites such as zillow.com and it's free to check how much your home is worth because Zillow checks what the sale prices of homes in your neighborhood are and values your house that way. The assessor just arbitrarily decides that everyones house is suddenly worth 8% more than last year and raises its value that way. Zillow also doesn't market your name or address to realtors so you don't have to fill out anything either and the cool thing is...if your house is more than a few years old they can show you a satellite image of it. Awesome. Also, if you're nosy like I am you can see how much everyone you know's house is worth...like Mom & Dad's, your music teacher's, your banker's, etc.

Answer 2

Unfortunately, no. The sale prices of homes are determined by the market in your area. Taxes and assessments are a bit more subjective.
To get an idea of your homes market value, look at the prices for similar homes in your immediate area in your local newspaper or on a website like realtor.com.
The increase in your tax bill may actually depress the sale price of your home because it increases the monthly cost of ownership for potential buyers.

Answer 3

Tax assessments are not reliable as not all properties are revalued each year. In some county assessor's offices, they don't even look at the property. They just look at the statistical data on hand. What it does mean is, that particular assessor thinks your house has gone up in value, on paper, since the last time he thought about it.

Answer 4

there's a danger that taxes might shrink slightly. even however, maximum tax checks lag the actual materials industry and as such, are below industry fee. What might take place is that interior the subsequent assessment cycle, the industry values might have declined to the assessment fee and no adjustment may be made, meaning the taxes won't shrink. If values have declined adequate, even however, the assessment might drop, bringing taxes with them

Answer 5

Ignore the assessment. Contact three real estate brokers in your area and ask if they will do a complimentary CMA (Comparative Market Analysis). They will all say yes,since this is how they get new clients. They should come back with a price within 10% of each other. If one comes back with an inflated price, ignore it.

Answer 6

the last guy is right, but yes, if the tax assessment value is higher then the property value in the area has gone up..but as he said it is usually pretty conservative..meaning your houses market value is usually higher than the tax appraisal value.

Answer 7

Most tax "fair market values" are on the conservative side. A good way to determine the value in your home would be to hire a reputable appraiser (USPAP) designation.

They will give you the value and compare your home to several other homes similar to yours, sold recently.

Answer 8

In theory, but not necessarily since for a sale, the home is only worth what someone is willing to pay for it.