An appeal of a property tax assessment should include adequate evidence that the assessed value is either incorrect or that it is out of line with assessments of properties similar to the subject in location, style, quality, size, and condition. Unless valid evidence is provided the law assumes that the county assessment is at or below market value and the appeal will be dismissed. Types of evidence that would be considered adequate in an appeal include: Comparable Sales Recently sold properties similar to the subject property may effectively indicate the value of the subject property based on the principle of substitution. A good rule of thumb for evaluating the quality of comparable property sales as evidence in an appeal is to consider if potential buyers of those properties would have considered the subject property as a competing listing similar to those that sold.
Try to look for sales which closed as close as possible to the tax lien date (January 1). Recent Purchase of Subject Property If the subject property was purchased within 12 months of the lien date the sale of the property should be considered as evidence in an appeal. It is important to remember that a sale that wouldnt be considered an arms length transaction may not be good evidence. Recent Appraisal Report An appraisal of the subject property dated within 12 months of the lien date can be a significant piece of evidence in an appeal.
Income/Expense Information If the parcel in question is an income producing property (commercial, industrial and residential 5+ units) the most effective evidence of its value will be income and expense data from the property together with a capitalization rate indicative of market investment demand. This evidence effectively makes a case for what a typical investor would pay for the subject property if it were available on the market. Factual Error In Assessor Information Errors in the description of a subject property maintained by the assessors office may result in significant errors in assessments. If the Assessors Office has incorrectly listed the square footage of a building on a property or has not correctly considered the legal zoning of a parcel (or if there is any other possible error in assessor data) an appeal with information regarding the error will allow the county to correct their description and assessment of that subject property.