As a former realtor, I feel compelled to add to the mix of information regarding the current complex and inequitable property tax system.
I live on a local lake where the average assessment increased 90 percent-plus, not 24 percent. We own a parcel of ground 20 feet wide and 200 feet deep that our garage sits on. This parcel increased from $400 per year to $1,400 per year. A relative, whose home would appraise at double the value of ours, pays less tax. A friend whose home would appraise at a third higher value pays less tax. A neighbor whose statistics (i.e. age, location, square footage, feet of frontage, etc.) pays nearly half of what we do. Assessments for the 350-plus homes on the lake were based on the sale of two homes in 2004/2005. This scenario is not the exception but the rule throughout the state.
Appeal, you say? No less than five neighbors appealed, to no avail. I personally gathered and presented 155 signed petitions to no avail.
Fact: Governor Daniels' 1 percent, 2 percent, 3 percent would not only not correct these disparities but would add to them. Our personal property tax burden would drop slightly while our commercial property taxes could increase 200 percent to no less than $3,000 per month. This equates to paying rent to our government for life in addition to the monthly payment plus interest, maintenance, utilities and insurance. Needless to say, the commercial real estate market would drop even further as too few could afford it. Business would pass on this burden to the consumer and again stifle a struggling economy.
Would an appointed assessor as opposed to an elected official correct these problems?
High-end homes have devalued more than 25 percent since November 2005. Did our assessments reflect that?
Condition, market and location of your home are all critical factors in assessing value. Realistically, how can an appointed official (and even a board) accurately assess thousands of homes and even remotely come close to an equitable appraisal?
If your home is paid for, but you have an undue hardship (ie, a devastating illness, loss of job, accident, etc) and cannot pay your property taxes, the government will take away your home.
There are better ways to fairly collect necessary taxes! For more information, go to advanceamerica.com
It is urgent you call your state and local representatives and let them know how you feel. Together we will make a difference.
