Taxes Doubled On Property - Has Anyone Gone Trough the Appeals Process?

Investor · Atlanta, GA · Member since 2021 · 133 posts · 60 votes

Hey BP Community!

So I got hit with a triple whammy on taxes. I bought a house-hack last summer in which the sellers made significant improvement to the property. The tax assessment last year was based on the home's prior condition but fast forward to this year and the taxes have doubled. Not only that, but I missed the homestead exemption deadline. AND I missed the tax appeals deadline for my county.

This one hurts and I am definitely going to have to bite the bullet on this one. Learning moment for sure. But I want to know if anyone has had any luck with the tax appeals process? And if so, what exactly would you go about appealing? Any other related advice would also be appreciated!

Thanks!

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John Clark

Member since 2018 · 1k+ posts · 1k+ votes

Quote from @AJ Satcher:

Hey BP Community!

Thanks!

I doubt the seller’s improvement changed the taxes. The sale price did. You can’t argue that it’s not worth the price you paid. Get your homeowner’s exemption in place for next year. Look for comparable properties and find out what they are assessing at for next year.

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Jonathan GreeneBusiness Member
Real Estate Consultant · Madison, NJ · Member since 2016 · 6k+ posts · 7k+ votes
1y
You don't have a great case for a tax appeal here because it looks like it was upped based on the renovation and improvements done prior to you buying it. That is to be expected and it usually falls within the acceptable rate at the time. You can win most tax appeals when your taxes are just out of whack for comparable properties so if you can find examples of similar properties with lower taxes, that is the only way you will win.
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John Clark
Member since 2018 · 1k+ posts · 1k+ votes
1y
Quote from @AJ Satcher:

Hey BP Community!
So I got hit with a triple whammy on taxes. I bought a house-hack last summer in which the sellers made significant improvement to the property. The tax assessment last year was based on the home's prior condition but fast forward to this year and the taxes have doubled. Not only that, but I missed the homestead exemption deadline. AND I missed the tax appeals deadline for my county.
This one hurts and I am definitely going to have to bite the bullet on this one. Learning moment for sure. But I want to know if anyone has had any luck with the tax appeals process? And if so, what exactly would you go about appealing? Any other related advice would also be appreciated!
Thanks!
I doubt the seller’s improvement changed the taxes. The sale price did. You can’t argue that it’s not worth the price you paid. Get your homeowner’s exemption in place for next year. Look for comparable properties and find out what they are assessing at for next year.
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Jonathan Bock
Accountant · Bryn Mawr, PA · Member since 2023 · 409 posts · 321 votes
1y
This is a hyperlocal process but you should learn especially if you are going to stay in this business.
In my area a layperson can appeal; it is a 5 minute hearing but you can also get your taxes increased in appeal, fun right?
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AJ Satcher
OP
Investor · Atlanta, GA · Member since 2021 · 133 posts · 60 votes
1y
Quote from @Jonathan Greene:

You don't have a great case for a tax appeal here because it looks like it was upped based on the renovation and improvements done prior to you buying it. That is to be expected and it usually falls within the acceptable rate at the time. You can win most tax appeals when your taxes are just out of whack for comparable properties so if you can find examples of similar properties with lower taxes, that is the only way you will win.

Thanks!
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Account Closed
Rental Property Investor · New Braunfels, TX · Member since 2022 · 408 posts · 408 votes
1y
Quote from @AJ Satcher:

But I want to know if anyone has had any luck with the tax appeals process? And if so, what exactly would you go about appealing? Any other related advice would also be appreciated!
Thanks!
We appeal every year here in central Texas. It's ridiculous what #'s the county throws out there for tax appraisals some times. We appealed 16 properties this year and have gotten 12 results so far with $116,454 reduction in values and 4 more pending the hearing. That equates to $4,286 a year in tax savings. Last year we saved even more because one property got $120,000 knocked off by itself because someone just made up a # to put on it. I'm not sure how it works in Ga though.
Go to a local realtor next time the appeal process is open and ask them to do a CMA on your place and use that data for your evidence when appealing with the county. And don't forget to register your homestead. Best of luck.
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