Challenging Minneapolis Assessor's Estimated Market Value

[Oscar Brooks]

Hi fellow Minneapolis investors,

Has anyone successfully challenged the assessor's valuation of this property? I'm looking for tips because I bought my owner occupied duplex at the end of May 2017 and my 2018 Estimated Market Value is 23% above what I paid for the place 6 months before the assessment was done. In my experience it is rare to find a property that has an assessor's value higher than that actual market value, let alone a value that so significantly surpasses it. Have pulled a list of comps, have an appraisal from lender done before purchase so I think I've got a good case, but looking for any advice on what else I should include as supporting documentation.

Thanks!

[Pavel U.]

I just had my personal home value re-adjusted (lowered) by approximately $60,000. I called the City, told them I don't agree with the value proposed for 2019. They sent City appraisal to my house, we walked through the whole house and I handed him 4-5 comps from my neighborhood that support my case. He just called me few hrs ago letting me know he is lowering my value. The whole process took about 5 day from the first time I called, to today.

I'm also "fighting" value of 1 commercial building, which went up $114,000 in a matter of 1.5 years, and value of 2 duplexes. So far the City is being very defensive about their valuations. I'm meeting one of them at my commercial building next week for a walk through. The process is pretty hairy too, they want copies of leases, profit/loss for that property for the past 2 years; and your monthly rental income (gross). If you don't come to an agreement with the appraisal, your next step is Local Board of Appeal and Equalization. There they may decide to keep your valuation, increase it (that's right), or lower it. If you don't agree with that stage, next step is Tax Court. 

This is what the City sent me when I told them I don't agree with the valuation:

How the Assessor Estimates Your Market Value (Fact Sheet-2)

http://www.revenue.state.mn.us/propertytax/factshe...

Understanding Property Taxes (Fact Sheet-1)

http://www.revenue.state.mn.us/propertytax/factshe...

For more information about appealing your estimated market value and the Local Board of Appeal and Equalization please visit: http://www.ci.minneapolis.mn.us/assessor/marketval...

So will see what happens next. I feel strongly that those 3 are over valued, and will definitely go all the way to Tax Court if needed.