What to Do When Your Property Tax Assessment is Inaccurate.

Colorado state law mandates that counties re-value properties in odd numbered years. So, if you are a property owner in Colorado you have likely recently received your new property assessment. And, if your situation is like many in the Denver metro area, your assessment has likely gone up considerably! What to do if you feel your property tax assessment is inaccurate? Read on!

BUT FIRST, some basics…Local governments use property tax revenues to fund public services (ie: police and fire forces) and each assessment locale uses different property tax procedures and rates. In the Denver Metro area, the assessed value of a home is typically determined by looking at sales prices of similar homes (or “comps”) in similar areas over the previous 24 months and homeowners are taxed based on the determined value of their home. If homeowners feel the property valuations are inaccurate, they have the right to appeal said value.

There are a few ways in which your property assessment may be inaccurate. For instance, if details such as the living area, the age, the location, etc. of your home are incorrectly recorded by the county, your valuation may be off. Based on this information, the comparable properties upon which the county based your assessment will likely be incorrect. (In some counties, these “comparable” properties are listed on the assessment which is mailed to you; in other counties, these are provided online.)

So, what to do if you feel the comparable properties are actually not comparable? First, contact a reputable real estate agent who can easily provide accurate comparable properties based on the true attributes of your home. Thereafter, if these comparables show a valuation which is different than the county’s assessment, your agent can advise you on county-specific procedures for filing an appeal.