Protesting my 2023 appraised value on investment property

[Jack Lee]

Hi guys, I'm a new real estate investor and had just received my Notice of Appraised Value for one of my properties. And I must say it's a eye-opener for sure. For some perspective, I had closed on the property in August 2022, hence the assessed value has been finalized for the year and it was a primary residence so there was homestead exemption on the 2022 appraised value. Believe it has a 10% increase cap yearly. Now that it's classified as an investment property, it no longer can claim homestead exemption and as a result the proposed appraised value jumped off the roof! 

For example, in 2022, the taxable value was $317,201 vs. 2023's $455,444. A whooping 44% year over year! My purchase price was $423k and the time I bought the place was basically the peak of the housing market. I doubt I will be able to sell my house at the new valuation it was assessed at. That said, I am preparing for a protest to the county's appraisal district. Would like to ask tips from those who had done it before and learn what "evidence" should be included to make my case stronger for a lower appraised value. Or alternatively, hire experts (property tax solutions) to help with this. Most of them as per my research takes a % of the savings it was able to achieve through their protest efforts. 

Appreciate you guys in advance :) 

[Kristi K.]

It’s absolutely worth fighting if they are way high in their appraisal numbers. I fought 7 properties in central Texas last year and they lowered all 7 from $10,000 to $104,000 totaling $246,000. These tax assessors are just throwing numbers out and hoping people don’t protest. 

@Jack Lee They might lower to what you paid for the property but they will never go lower. Get CMA's from your local realtor and protest. We just got last years protests settled in late December, starting to protest this years now. I had one property go up 76% and my realtor says he's seen lots of appraisals worse than mine. It's almost criminal what they are doing. Best of luck.