How Appealing Your Property Taxes Can Save You Money as a New Homeowner

According to CNBC, many new homeowners may be paying more in property taxes than necessary due to overassessed property values.

As a team of real estate professionals, we believe it's crucial to understand how appealing your property tax assessment can lead to significant savings and ensure you're not overpaying.

Understanding Property Tax Assessments

Property taxes are determined by the assessed value of your home, which local governments use to fund essential services like schools, police, and infrastructure. However, assessments aren't always accurate. In fact, research indicates that about 40% of homes may be overassessed, leading to higher tax bills than necessary. The median savings from a successful appeal is approximately $539, but this can vary depending on your location and property value.

Why Many Homeowners Don't Appeal

Despite the potential savings, around 80% of homeowners have never appealed their property tax assessments. This may be due to a lack of awareness or the misconception that the process is too complicated. However, with the right information and resources, appealing can be straightforward and worthwhile. 

Steps to Appeal Your Property Tax Assessment

1. Review Your Assessment Notice: Check for any inaccuracies in property details, such as square footage or the number of bedrooms.

2. Research Comparable Properties: Look at recent sales of similar homes in your area to determine if your assessment aligns with market values.

3. Gather Evidhttp: Collect documentation that supports your claim, including photos, repair estimates, or independent appraisals.

4. File an Appeal: Submit your appeal to the local tax assessor's office within the designated timeframe, which varies by jurisdiction.

5. Consider Professional Help: Companies like Ownwell offer services to assist with appeals and often charge fees only if the appeal is successful.

   
   

Benefits of a Successful Appeal

• Immediate Savings: Lowering your assessed value reduces your annual property tax bill.

• Long-Term Financial Relief: A reduced assessment can lead to continued savings over the years, especially if property taxes increase.

• Increased Property Appeal: Lower taxes can make your home more attractive to potential buyers should you decide to sell.

  
  

Appealing your property tax assessment is a proactive step that can lead to substantial financial benefits. As a team of real estate professionals, we encourage homeowners to regularly review their assessments and take action if discrepancies are found. With the right approach, you can ensure you're paying a fair amount and potentially save hundreds of dollars annually.

Let`s connect to discuss your homeownership goals — whether you're buying a new home or already own one, our team is here to help you build a smart strategy, review your property tax assessment, and uncover potential savings.

Source: cnbc.com