Palm Beach County Property Tax notices are out…was your home valued too high?

A few weeks ago the Palm Beach County Property Appraiser sent out the estimated property tax notices to every property owner which contained assessed and market values of the property.

This notice is not a tax bill. The Tax Collector’s Office will mail tax bills on Nov. 1. The Notice of Proposed Taxes is intended to give you an idea of what to expect when the taxing authorities work up their budgets for the 2013 fiscal year (Oct. 1, 2012-Sept. 30, 2013).

The value information shows your property’s market value for 2011 and 2012. Market value is based on the most probable sale price a willing buyer would pay in a competitive market. The 2012 tax roll is based on sales transactions that occurred in 2011.

If you believe the market value (and resulting property taxes) of your property is too high you have the right to appeal...BUT YOUR TIME IS RUNNING OUT! September 17th is the appeal deadline.

The procedure for a valuation appeal is as follows:

1. You can all the PB County Property Appraisers office and speak with a deputy appraiser. The main contact # is 561-355-3230, the # listed under Residential Appraisals is 561-355-2883. If still dissatisfied, you can then appeal to the Value Adjustment Board, an independent body consisting of two County Commissioners, one School Board member and two members at large, appointed by the County Commission and School Board.
2. The Value Adjust Board appeal: The VAB is set up to settle disputes between taxpayers and the Property Appraisers office. You can file your petition online HERE…but you only have until SEPTEMBER 17th…so don’t delay! Filing a petition will cost you a non-refundable $15 fee. HERE is what the actual petition form looks like.You can also file in person at the Clerk Governmental Center 1st floor office or any branch location. You can call the VAB at (561) 355-6289.

In hearings before the VAB you may represent yourself, seek assistance from a family member or a friend, or have an attorney or agent represent you.

It is recommended that you have evidence to support your petition. You can review the Florida Department of Revenue Web site for examples of evidence listed in Florida Statute 193. I am of the opinion that recent arms length transaction sales of similar properties can be the best evidence of value a homeowner can have. The county appraiser might compare your property with similar, recently sold properties to determine its market value, then multiply that by a set fraction, known as the assessment ratio. So if a property's market value is determined to be $100,000 and the assessment ratio is 80%, the assessed value for property tax purposes should be $80,000.

The next step is to check for errors in your assessment. Your local assessor's office can provide your property's record card which has information used to assess your property, such as dimensions and number of rooms; you can check that out HERE. Check that the square footage listed is correct for both the house and the land. If you find an outright error -- for example, the card says your home is 2500 sq. feet but in reality it is only 2000 sq. feet -- you may be able to show the assessor your blueprints or floor plan to get a reduction and skip the formal appeal.

Next, investigate the assessed value of similar properties in your neighborhood to see how yours compares. Look at property cards for homes of similar age and square footage with the same number of bedrooms and bathrooms. If you find that your assessed value is considerably higher than that of at least five homes (the more you can document, the better), you may have a solid case for appeal. Try to find comparable properties that are as close as possible to your own -- nearly the same square footage, in the same neighborhood, and with similar grades of construction materials.

Another option is hiring a professional real estate appraiser who will take a thorough look at your property provides the strongest evidence of its worth, but check whether your community allows outside appraisals in an appeal before you get one. If you go this route, find someone with national certification, such as through the Appraisal Institute or the National Association of Independent Fee Appraisers. Several factors contribute to the cost of an appraisal, but expect to pay about $250 to $500.

Also, if you’re friendly with a ‘competent’ real estate agent who is an expert in your area, they can provide you with a great deal of valuable information regarding the value of your home.

Lastly, there may be attorneys or other private companies that assist homeowners in challenging their tax assessment…I , however, have no experience with either and can provide no recommendations. I googled for tax assessment challenge companies and came across this one (no endorsement) And I found this book published by The National Taxpayers Union that may be of some help…(I’ve not read it and it costs $9.95)

There are specific evidence submission requirements plus you must bring all of your evidence to the hearing and be prepared to present it. When sending your evidence to the Property Appraiser, please provide two (2) copies. Do not submit evidence to the VAB clerk.

Here is a link where you can download the 2 page VAB guideline brochure.

Evidence sent before the hearing as part of the pre-hearing evidence exchange with the property appraiser should be sent to:

Property Appraiser
Governmental Center
301 North Olive Avenue
5th Floor
West Palm Beach, FL 33401

Good luck in your appeal!

Thanks for reading…Steve Jackson

561.602.1258