How to Minimize the Impact of High Property Taxes

Property tax is a form of tax that applies directly to all types of real estate. These taxes can be really worrisome for the property owner as they tend to increase steadily over time. Since people often take out a mortgage on their property, an additional fee that increases over time is an additional inconvenience. Rather than worrying when tax time comes, here are some steps you can take to minimize the impact of high property taxes.

Limit curb appeal

Property tax is levied on the appraised value, which is determined by a tax assessor. The appraised value is calculated taking into account several factors such as the attractiveness of the house, the comparison with neighboring houses and also the general neighborhood. Therefore, to ensure that your appraised value remains reasonable, you can avoid any fancy surface disturbances, as this ensures that your home does not appear over-groomed.

Avoid structural changes

The simplest way to avoid high property taxes is to avoid home renovations, such as increasing the size of the house, adding a floor above the roof, or building a balcony. The tax assessor takes these structural add-ons into account, and these changes are usually the reason for the substantial property tax increase.

Analysis of your property tax card

The tax card is a document that provides detailed information about the property you own, such as the size of the plot, the precise dimensions of the rooms, and the amount and type of accessories inside the house. Information on any structural additions is also mentioned. You can pick up this card at your local tax office and check for any discrepancies in the information mentioned. If you find any errors, you can file a claim with the tax assessor. This ensures that you do not pay additional taxes due to incorrect information.

Compare to confirm

Detailed information on neighboring houses is usually available from your local tax office. If you believe that your property has been unfairly appraised, you can always review the property specifications and the appraised value of other homes in your neighborhood. There are cases where identical properties receive a different evaluation value. In such a case, you can inform the tax assessor about this matter.

Accompany the evaluator

Most people don’t mind having the tax assessor verify their property on their own. This is not the best idea, as sometimes the appraiser may look beyond the home’s problems, while giving your home an unfair higher appraised value. To avoid this scenario, always accompany the evaluator during his visit. Point out things that might otherwise go unnoticed and present a clear picture of the property. Doing so will help the appraiser to be objective and therefore lower the appraised value.