dda@houxz.UUCP (08/16/83)
A couple of weeks ago, I posted an article requesting information on the procedures for a real estate tax appeal. A summary of the replies follows. Thanks to everyone who replied. Most people think there is little chance in winning an appeal, especially without an attorney. However, the only person who had actually appealed his taxes and replied to me, won his case without a lawyer. Thus, this perception is certainly open to challenge. Some comments were along the lines that newer homes are assessed higher than older homes and appealing the higher assessment won't do any good unless it is also assessed higher than other new homes of comparable value. This is supposed to be corrected only when a general reassessment of a township is made. One person pointed out that the assessor may check how much the house is insured for to help determine its value. My understanding of the tax system is that the assessor is supposed to assess real estate such that the ratio of market value to assessed value is consistent throughout a township. (I'm not sure if this is only within classes of property - e.g. commercial could have a different ratio than residential - or if the ratios for all property classes are supposed to be equal.) Then the assessor divides the total assessed value into the amount of taxes to be collected to determine the tax rate. Of course, over time the market values of real estate will inflate differently depending on the condition of the neighborhood and the property itself. Thus, reassessments are required periodically so that everyone pays close to their fair share. Some other information I received is that the assessment only has to be corrected if the ratio of assessed value to true value is at least 15 percent higher than the average ratio in the township. This information is for New Jersey - it may vary in other states. Dennis Allen houxz!dda