Land Assessment

Geri · Apr 30, 2006

We've been building a barn for the last two years. It's still not complete but, our property went up 12,000 dollars for improvements. Trouble is we didn't spend 12,000 on building materials. We kept all the receipts because we figured some day we might have to protest our tax assessment and we were right. Not only did it not cost 12,000 but it is on the adjoining property. What a mess.

DUMBDOG · Apr 30, 2006

Assessments are not based upon cost, but upon value. This value is based upon market conditions, including labor.

Next question is why did you build upon the neighbors property? /forums/images/graemlins/grin.gif

MarkLeininger · Apr 30, 2006

We had a similar problem, we have two parcels next to each other. One is agriculture, one is not. When we put on an addition we couldn't get through their heads that we owned both parcels. You'll have to take your plats into the assessor and try to get that resolved. In our state they have an improvement exemption: for 4 years they don't increase the value of your property due to any improvements. That's to encourage people to make improvements. Don't know if your state has that or not. Also in our state, improvements being made with a building permit can't be assessed until the issuing authority completes the permit process and notifies the assessor the project is complete. You are required however to complete a project within 12 months of when you pull the permit, so maybe that's why you got assessed.

LBrown59 · Apr 30, 2006

(
why did you build upon the neighbors property? /forums/images/graemlins/grin.gif )

Dummy Mutt I don't think he built on the neighbors land. I think the DAz in the tax office listed the structure as being on the wrong piece of land.

Geri · Apr 30, 2006

Thanks..We own both pieces of property. Just so happens the horses and barn are on one and the house is on the other.

DUMBDOG · Apr 30, 2006

My guesstimate was that you had two parcels, more than likely the permit was listed on your address that you lived and the improvement was the adjoining property.

I have a piece of property that I am paying five percent of the purchase price each year in real estate taxes, it is my home. We have owned it for close to thirty years, however it has only doubled in value in that time. We also own a small piece of farmland where the tax rate is one fifth of one percent of its current market value, there seems to be no reason for some of the rules on real estate assessment for taxes.