County tax assessment

[NicMM]

I received a letter from county of San Diego Assessor’s Office, which reduced the tax assessed value of our house in 4S Ranch from $690k to $535k. The house was purchased on end of 2007 from builder when there was a stiff drop of price from the peak. Although we are fully aware of the price direction in the area, it is still shocking to see such an assessment.

Does this mean my house is worth only around that price? The closing prices of similar houses on the street are around mid ~ low $600K. My next door neighbors short sold their house at $630K. We have moved out of town due to job changes and have put over 30% of the original purchase price onto that house.

[bearishgurl]

County Assessment has nothing to do with current market value. The assessor personnel probably completed their reassessment of your area before the inventory shortage of late and thus the current rise in sold prices.

Enjoy it and be happy … for as long as it lasts!

[ocrenter]

we were reassessed with an additional $50k in value compared to our late 2008 purchase price.

the reassessed price is $130k less than zestimate.

the reassessed price is $270k less than the appraisal value just done a couple of weeks ago from my refi.

so yes, enjoy the low value, it isn’t based on reality.

[NicMM]

Thanks for sharing your experiences, Bearishgurl and Ocrenter. Good to hear that.

-NicMM

[Coronita]

My assessment went down by $100k too. So my property tax will drop next year by $1k approximately…

And no, it has nothing to do with reality.

[Coronita]

Side note… I wonder how much this is really hurting our city, in terms of lost revenue.

[spdrun]

Can someone explain CA law, as regards Prop-13… Am I correct that once assessment drops, it can’t be increased by more than 2% per annum, except if the property is sold? Or does it only mean that it can’t be increased by > 2%/yr above the original level at purchase?

[an]

[quote=flu]My assessment went down by $100k too. So my property tax will drop next year by $1k approximately…

And no, it has nothing to do with reality.[/quote]
I’m jealous. I wish my assessment goes down by $100k. I tried to request for $100k reduction but they only gave me $25k.

[svelte]

[quote=spdrun]Can someone explain CA law, as regards Prop-13… Am I correct that once assessment drops, it can’t be increased by more than 2% per annum, except if the property is sold? Or does it only mean that it can’t be increased by > 2%/yr above the original level at purchase?[/quote]

It has been awhile since I looked into it, but it is my recollection that the assessment can increase by 2% a year from the original assessed value at purchase.

If you get a temporary assessment drop, it can be increased in future years to reach whatever that original assessment + 2%/yr value turns out to be.

[ocrenter]

[quote=AN][quote=flu]My assessment went down by $100k too. So my property tax will drop next year by $1k approximately…

And no, it has nothing to do with reality.[/quote]
I’m jealous. I wish my assessment goes down by $100k. I tried to request for $100k reduction but they only gave me $25k.[/quote]

May have something to do with general lack of walls in MM, it is considered a premium these days. I think the county assessor also factor in the overwhelming lizard population in CV as well.

[Coronita]

[quote=svelte][quote=spdrun]Can someone explain CA law, as regards Prop-13… Am I correct that once assessment drops, it can’t be increased by more than 2% per annum, except if the property is sold? Or does it only mean that it can’t be increased by > 2%/yr above the original level at purchase?[/quote]

It has been awhile since I looked into it, but it is my recollection that the assessment can increase by 2% a year from the original assessed value at purchase.

If you get a temporary assessment drop, it can be increased in future years to reach whatever that original assessment + 2%/yr value turns out to be.[/quote]

It was covered in this thread.

http://piggington.com/property_tax_minimization_after_reassessment

Prop 13 dictates that property taxes can rise no more than 2% per year from 1978 if ownership remains unchanged (exempting offspring who inherit, who get to maintain this break). The 2% maximum annual increase applies to all properties bought after 1978.
If a property falls in market value below its assessed value, you can appeal it and get it lowered. But once its value climbs again the assessment can “catch up”, that is, go up in excess of 2% per year until it bounces up against the ceiling of “2% per year increase from date of purchase” rule.
So in the two examples you cited, yes, the two owners will end up paying different property taxes on properties with the same market value.

Cash purchased home…Probably better to sell it back to yourself if you really care.

[Coronita]

[quote=ocrenter][quote=AN][quote=flu]My assessment went down by $100k too. So my property tax will drop next year by $1k approximately…

And no, it has nothing to do with reality.[/quote]
I’m jealous. I wish my assessment goes down by $100k. I tried to request for $100k reduction but they only gave me $25k.[/quote]

May have something to do with general lack of walls in MM, it is considered a premium these days. I think the county assessor also factor in the overwhelming lizard population in CV as well.[/quote]

My walls dissolved. Also no AC and front yard.

[an]

[quote=ocrenter][quote=AN][quote=flu]My assessment went down by $100k too. So my property tax will drop next year by $1k approximately…

And no, it has nothing to do with reality.[/quote]
I’m jealous. I wish my assessment goes down by $100k. I tried to request for $100k reduction but they only gave me $25k.[/quote]

May have something to do with general lack of walls in MM, it is considered a premium these days. I think the county assessor also factor in the overwhelming lizard population in CV as well.[/quote]
The damn lack of walls and lizards is costing me a bundle.

[CA renter]

[quote=flu]Side note… I wonder how much this is really hurting our city, in terms of lost revenue.[/quote]

No, no no!!! It’s the pensions and the union goons, I tell you!

[just messing with you, flu!] 🙂

[Essbee]

I thought people had to REQUEST a reassessment. We did this for our old house (purchased in 2006, asked for reassessment in 2009) and it was granted to us after we filled out a short application including a few recent sales comps.

But I had no idea that the county would just send someone a letter saying, “your house has droped in value and now you owe less.” I wonder if this varies between the city and the county assessors?

[Author]

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