
02-06-2011, 06:23 PM
|
|
|
154 posts, read 567,280 times
Reputation: 92
|
|
Very generally speaking homes typically sell at some percentage of their tax value, what is that percentage these days?
I realize there are a ton of variables, but I'm only asking about generalities... average home in average condition in an average location. Just curious.
|

02-06-2011, 07:21 PM
|
|
|
5,604 posts, read 16,700,592 times
Reputation: 4525
|
|
The last time Wake County computed tax values was 2008. I think you'll find that sale prices are lower. How much lower depends on a lot of variables.
|

02-06-2011, 07:47 PM
|
|
|
9,812 posts, read 28,974,239 times
Reputation: 10423
|
|
There are so many variables that any answer would just be a guess and not very useful.
|

02-06-2011, 09:01 PM
|
|
|
Location: Cary, NC
40,543 posts, read 70,117,678 times
Reputation: 41952
|
|
While there may be a statistical answer derived from calculating all the sales vs. tax numbers, the result would be meaningless, so there would be little point to the calculation exercise.
Many people, myself included, appealed their assessment in 2008, and successfully had their tax value reduced.
Most people didn't bother to try.
So my home is about 7% lower tax value than other very similar homes.
That should RAISE the market value and sales appeal of my property, since a buyer would pay lower property taxes than the others would.
In the current market, if I was trying to sell, I would probably promote the lower property taxes as a desirable feature.
|

02-07-2011, 03:29 AM
|
|
|
248 posts, read 724,371 times
Reputation: 212
|
|
In theory the tax value is the fair market value of your property for the year the assesment was done but the last assesment was performed at the peak of the market.
|

02-07-2011, 04:28 PM
|
|
|
Location: Downtown Durham, NC
915 posts, read 2,283,751 times
Reputation: 732
|
|
In Durham, it varies greatly by neighborhood. Houses on my street are selling for about 3 to 4 times their tax value, and have been since the last valuation.
In other neighborhoods, the tax valuation is 80 to 90% of the fair market price.
I imagine my neighborhood's tax assessment will go up drastically in 3 years.
|

02-07-2011, 04:58 PM
|
|
|
Location: NC
1,695 posts, read 4,443,178 times
Reputation: 1870
|
|
So.... (forgive my idiocy LOL) in an ideal situation, would you want the tax value to be higher, lower or equal to the sales price?
|

02-07-2011, 05:05 PM
|
|
|
Location: Cary, NC
40,543 posts, read 70,117,678 times
Reputation: 41952
|
|
Quote:
Originally Posted by suedonym
So.... (forgive my idiocy LOL) in an ideal situation, would you want the tax value to be higher, lower or equal to the sales price?
|
Lower, although with inflated valuations in 2008, that "lower" is getting harder to find. And a lot of people didn't appeal their 2008 valuations for various reasons.
If the house is worth $400,000 at sale, and the tax value is $350,000, the owner is paying taxes on a lower valuation.
Over 8 years, it can add up to a couple thousand dollars in tax money.
|

02-07-2011, 06:22 PM
|
|
|
Location: NC
1,695 posts, read 4,443,178 times
Reputation: 1870
|
|
Quote:
Originally Posted by MikeJaquish
Lower, although with inflated valuations in 2008, that "lower" is getting harder to find. And a lot of people didn't appeal their 2008 valuations for various reasons.
If the house is worth $400,000 at sale, and the tax value is $350,000, the owner is paying taxes on a lower valuation.
Over 8 years, it can add up to a couple thousand dollars in tax money.
|
ahh ok thanks mike! 
|

02-07-2011, 06:46 PM
|
|
|
169 posts, read 226,799 times
Reputation: 69
|
|
Question for Mike
Okay then, if we bought when the market was bad for sellers but good for buyers and we got a lower price, then should we try to appeal for a lower tax rate as well, since our sales price was 37K below the tax value of the home? That was 18 months ago. Thanks for any input.
|
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
|
|