Over-Assessed Property

What is an Over-Assessed Property?

An Over-Assessed Property occurs when the assessed value used to calculate property taxes exceeds the home's true market value. This discrepancy can lead to unnecessarily high tax payments. Over-assessments are often caused by outdated assessments, errors in property data, or market value fluctuations that aren’t reflected in the tax records.

Benefits of Identifying Over-Assessed Properties

1. Lower Property Taxes:
   • Correcting over-assessments can reduce your annual tax burden.
2. Fair Market Value Alignment:
   • Ensures you’re taxed based on accurate property data.
3. Financial Relief:
   • Frees up funds for other expenses or savings.

Why is Addressing Over-Assessed Properties Important for Homeowners?

Over-assessments can strain household budgets unnecessarily. Identifying and appealing these assessments allows homeowners to pay a fair tax amount and keep more of their hard-earned money.

Example of an Over-Assessed Property in Action

A homeowner in Texas finds their property assessed at $350,000, but a recent appraisal values it at $300,000. After filing an appeal and providing evidence, their tax bill is adjusted based on the correct value, saving them $1,200 annually.

Pros and Cons of Correcting Over-Assessments

Pros:

• Saves money by reducing tax payments.
• Ensures fair treatment by the tax authority.
• Encourages accurate property records.

Cons:

• Appeal processes can be time-consuming.
• Requires documentation like appraisals or sales comparisons.

Conclusion

Identifying and addressing over-assessed properties is a crucial step for homeowners to ensure they’re not overpaying on property taxes. Regularly reviewing your assessment and taking action when needed can lead to significant savings.

You Do the Living. Abode Does the Saving.

Want help managing your property taxes? Let Abode guide you through the process of identifying over-assessments and appealing them to save money. Sign up today!