Inflated Propety Tax Assessments - Clark County (Olympia, Camas: sales, real estate)

[USDefault]

I'm seeing some unsupportably high property tax assessments this year. For example, house sells for $510k in the last six months. Tax assessment valuation, $615k. More than a few of the high assessments I've seen are for recent sales. Notably, for recent sales, it is the sales price that controls for a proper assessment/valuation, not the inflated algorithm the Assessor spits out. So there is no way a house sold for, say, $500,000 a few months ago, yet a proper assessment is $600,000+. There is no way.


Based on a small review, I'm thinking more than a few assessments are inflated by around 17% or so, over and above recent sales/comp data.



I know a slew of "New Value" Assessor notices went out around May 31, 2018. Depending on your location, you may have until July 31, 2018 to get in your appeal. And an appeal isn't too difficult. If you think your number sounds high, spend the time and appeal it. Just off my cursory review, there are some property owners with solid grounds for an appeal and reduction. We are appealing ours.



The disclaimer is any assessment is particularized and none of the above may apply to you. But hop on Zillow, look at some closed sales in the last twelve months. If the sales numbers for similar homes in your neighboorhood diverge by more than 10% from your assessment amount, I'd put in the effort to appeal.



And get moving. Depending on your location, you have 60 days from the date of your last notice of assessment / new value. (Some locations are thirty days.) So for those of you with the May 31, 2018 notices and the 60-day appeal period window, you have until the end of this month. Plenty of time to file the three-page document.

[StealthRabbit]

Good luck on the appeal, I have pursued them all the way to Olympia (many times). Tax assessor does not like you doing that, and the WILL retaliate. (so they have told be many times... we WILL beat you into submission).

Remember.. the assessor gets to use MULTIPLICATION and the home owner ONLY gets SUBTRACTION (hint... you cannot win in the end game..) you will get about $10- 50k value subtracted for hundreds of hours of work, and the assessor will ratchet your rate in subsequent yrs (base on many multiplication factors they can employ, usually Build 'Quality'). Tho we built for $38/sf, we are assessed at over $300 / SF (as if we had premium components, which we do not). Our dirt alone =... $400k value if our home was reduced to dust. Neighboring 10 acre lots last sold for $99k, but there no more available land in our area, so assessor can value at will.

Assessor will use 'sweet spots' for valuation comps. Places that are not even near (in location or value). and the homes they use for comps are spiffed / ready to sell, NOT "lived in" / used / family / normal homes.

example,
My primary residence taxes... (Californication = perceived value increases, but not REAL value)

$800 / yr, (<$3 / day) as a NEW HOUSE ...(28 yrs later) Property taxes = $16,000 / yr ($ 43 / day). Same house, same bed, no improvements, just all worn out (needs roof, siding / paint, exterior wood replaced, updated windows, refresh insulation, replace appliances and plumbing fixtures...

Neighbor homes (who do not contest)... raise ~ 1/2 the rate those of us who contest. (Statistically proven over a range of 70 neighboring properties).

[notnamed]

Our place appraised for $320k recently but the tax assessment this year was just $271.
But it’s just a tract home with a postage stamp lot.

[MtnSurfer]

This sounds pretty crazy and wildly unpredictable. I wonder if/when we buy a home how to select a better location/property over another within Clark County? It seems like luck of the draw.

Derek

[StealthRabbit]

Originally Posted by MtnSurfer

This sounds pretty crazy and wildly unpredictable. I wonder if/when we buy a home how to select a better location/property over another within Clark County? It seems like luck of the draw.

Derek

quite the opposite... you need to be VERY strategic. (especially knowing the specifics of each taxing district / LID, (knowing that previous taxes and sales price have minimal / no influence on future valuations)

[USDefault]

Originally Posted by MtnSurfer

This sounds pretty crazy and wildly unpredictable. I wonder if/when we buy a home how to select a better location/property over another within Clark County? It seems like luck of the draw.

Buy the home you want to buy. For a single-family home on an acre or less, tax assessments should not be a factor. Also, I've won appeals and had the property tax basis lowered. Washington law is good on this point -- actual sales and market price is what matters. So, for a single-family residence (house, condo, townhouse, apartment) I would ignore all of this. If you're buying commercial real estate, or a farm, then I'd take a much closer look.

[cdelena]

The appraisal on my house jumped 12% just this year and I was tempted to appeal but after researching the limited sales in the area I think it is in line with the current market.

[texasdiver]

My appraised value in Camas went up 7.9 percent from 2016 to 2017 and then dropped 2.4% from 2017 to 2018.

The current 2018 appraised value is still about 5% under what we actually paid for the house in 2016 and maybe 20% less than what comparable properties are currently selling for in our neighborhood. So I’m not complaining.