How to Minimize the Impact of High Property Taxes
Property tax is a form of tax that is applied directly to all types of real estate. These taxes can be really worrisome for the property owner, as they tend to steadily increase over time. Since people typically take out a mortgage on their property, an additional charge that increases over time is an added inconvenience. Instead of worrying when it’s time to pay taxes, here are some steps you can take to minimize the impact of high property taxes.
Limit curb appeal
Property tax is levied on the assessed value, which is determined by a tax appraiser. The appraised value is calculated by taking into account several factors such as the attractiveness of the house, the comparison with the neighboring houses and also the general neighborhood. Therefore, to ensure that your appraised value remains reasonable, you may want to avoid any fancy surface alterations, as this ensures that your home doesn’t appear overdressed.
Avoid structural changes
The easiest way to avoid high property taxes is to avoid home renovations, such as increasing the size of the house, adding a story above the roof, or building a balcony. The tax assessor takes these structural add-ons into consideration, and typically these changes are the reason for the substantial increase in property tax.
Analysis of your property tax card
The tax card is a document that provides detailed information about the property you own, such as the size of the plot, the precise dimensions of the rooms, and the number and type of accessories inside the house. Information on any structural additions is also mentioned. You can pick up this card at your local tax office and check for discrepancies in the information mentioned. If you find any errors, you can file a complaint with the tax assessor. This ensures that you do not pay additional taxes due to incorrect information.
Compare to confirm
Detailed information on neighboring houses is usually available from your local tax office. If you think your property has been unfairly appraised, you can always check the property specifications and the appraised value of other homes in your neighborhood. There are cases where identical properties are assigned a different evaluation value. In such a case, you can take this issue to the notification of the tax assessor.
Accompany the advisor
Most people don’t care if the tax assessor checks their property on their own. This is not the best idea as sometimes the appraiser can overlook the home’s problems, while giving your home an unfairly higher assessed value. To avoid this scenario, always accompany the evaluator during his visit. Point out things that might otherwise go unnoticed and present a clear picture of the property. Doing this will help the appraiser to be objective and therefore lower the assessed value.
