Huge Potential Tax Increase, West Warwick RI

[Nicholas Bolcon]

Are there any investors in West Warwick, RI that just received their new property evaluation?  I bought a duplex in December and just got a notice about the new assessed value.  They doubled the assessed value on the structure, an increase of about $70k.  Since I am paying the non-owner occupied rate, I am looking at a potential increase of about $2700 a year if the rates stay the same.  To me this is a huge increase, I know we should count on taxes to increase, but I was thinking in the neighborhood of maybe a $500 increase occasionally?

Based on my numbers it won't sink me (if my numbers are right) and I will still have positive cash-flow, but it really turns it from a seemingly decent first rental property to something not really worth the time and money I am putting into it.  Selling isn't really a good option right now since I think I over-paid a little because I underestimated the amount of work it needed (rookie mistake I know, I'm learning from it) so I haven't increased to value enough to cover my initial investment and paying a relator commission.  Any thoughts from people in similar situations?

[Nicholas Bolcon]

@Anthony Thompson I think the assessment is actually near market value (maybe a bit under as you mentioned).  The last time they did a re-evaluation was 2012.  And looking at it the previous assessment was very low.  It's more that the rate (especially for non-owner occupied) is so high that this drastic of an increase so quickly could result in a huge change from one year to the next (provided rates stay the same).

It's something I wasn't really anticipating.  I think, being young, I am used to seeing low valuations because of how quickly the market has gone up in the last few years.  It's something to look out for in the future I suppose.