Taxable/Assessed Value Appeals

[orezok]

QUOTE=vtsnowedin;4063566]I think you are playing with some bogus numbers there. The median home in1970 was $65,00 and it rose to $119,600 in 2000, a rise of 83 percent not 500
https://www.census.gov/hhes/www/housing/census/historic/values.html[/QUOTE]

My numbers are based upon California house values. Based upon the attached chart, values in 1978 were about $75,000 and in 2004 they were $450,000, that's more than 500%.

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[EddieWalker]

My parents paid $27,000 for their house in CA in 1971 and sold it for $540,000 in 1998 after my dad retired. They where in Hayward, which is across the bay and just south of SF. Houses in better areas sold for a lot more!!!

Eddie

 

[vtsnowedin]

OK you guys are talking about California. I thought you were talking about the country as a whole. Now lets see how you can raise taxes when you have proposition 13 fixing them to a fixed percentage of the properties value. Why simple just inflate the value of every house by 500%. 1.5% times 500% equals 7.5%:shocked:

 

[Country Geek]

OK you guys are talking about California. I thought you were talking about the country as a whole. Now lets see how you can raise taxes when you have proposition 13 fixing them to a fixed percentage of the properties value. Why simple just inflate the value of every house by 500%. 1.5% times 500% equals 7.5%:shocked:

That's not what Prop 13 does. Prop 13 forbids them from raising the assessed value of a house by more than a fixed percentage (I think it's 1.5%) unless it's been sold. So people who are relative newcomers are subsidizing the long term homeowners, because the newcomers pay taxes at market value while the long time homeowners pay taxes at greatly reduced value.

 

[vtsnowedin]

That's not what Prop 13 does. Prop 13 forbids them from raising the assessed value of a house by more than a fixed percentage (I think it's 1.5%) unless it's been sold. So people who are relative newcomers are subsidizing the long term homeowners, because the newcomers pay taxes at market value while the long time homeowners pay taxes at greatly reduced value.

What about if you do an addition or renovation ? And 1.5% each and every year adds up in a hurry.

 

[Country Geek]

What about if you do an addition or renovation ? And 1.5% each and every year adds up in a hurry.

That was an interesting question so I went and looked and found this:

Will a Remodel Increase My Property Taxes? « Burgin Construction Inc.

From that source:

New Construction is Taxable – Typical Maintenance & Repairs Are Not!

New construction is taxable, but does not trigger a reassessment of the entire property.
Only the market value of new constructions is added to the existing Proposition 13 value.
New construction is subject to a one-time supplemental assessment.
Maintenance or replacement of existing items is not taxable.

Examples of Taxable New Construction:

New buildings or significant enhancements that change the size, condition or usability of a property.
New additions to real property including room additions, swimming pools, spas, patio covers, central heating/air conditioning, fireplaces, decks, fences or flatwork.

Examples of NON-Taxable Maintenance or Replacement:

Maintenance or replacement of existing improvements including roofs, garage doors, kitchen cabinets, counters, bathroom fixtures, heating/air conditioning units, flatwork or fences
Certain types of new construction are specifically excluded from assessment. These may include alterations to make a building more accessible to, or more usable by, a disabled person; active solar energy systems; seismic rehabilitation or retrofitting or a fire sprinkler or detection system.

 

[ultrarunner]

That's not what Prop 13 does. Prop 13 forbids them from raising the assessed value of a house by more than a fixed percentage (I think it's 1.5%) unless it's been sold. So people who are relative newcomers are subsidizing the long term homeowners, because the newcomers pay taxes at market value while the long time homeowners pay taxes at greatly reduced value.

Not true... I bought in 2003 and paid 598k for my 1725 square feett 1958 home...

Three doors up the home sold in 2009 for 380k and was 2400 square feet and built in 1978...

No one is subsidizing anyone... Prop 13 is based on Fair Market Value at time of transfer... nothing more or less...

So the newcomers in the neighborhood bought a 30% larger home that was 20 years newer and pay $6000 and I pay $9500... kind of shoots the theory of the newcomers subsidizing those that got there first.

Prop 13 also provides for a annual 2% inflation cap... plus voter approved assessments above and beyond.

As anyone knows... Real Estate is cyclical and prices do drop... sometimes 50% of more...

 

[ultrarunner]

Appeals take 2 years from submittal in the proper form until the hearing date plus an appeal fee must be paid as well as all taxes in full...

The Assessor has said there is no benefit to expedite and made sure any refunds were held as long as permitted by law.

 

[vtsnowedin]

Not true... I bought in 2003 and paid 598k for my 1725 square feett 1958 home...

Three doors up the home sold in 2009 for 380k and was 2400 square feet and built in 1978...

.

You got screwed!

 

[murphy1244]

You got screwed!

:laughing: