Frequently Asked Questions
Has the value of this property been appealed since January 1, 2008?
If no, then we can help. If yes, we can't help. Unless there has been a physical change to the property, there is not a second opportunity to appeal the value.
Are you already in a tax deferment program or another reduced tax program?
If yes, then stay with that program. We might be able to find additional programs that you would qualify for too.
Have you received an actual new valuation from the county?
If yes, we can help.
Has your property been downzoned?
If yes, we can help.
Has there been any development moratorium or governmental regulation made since 2008 that has effected your land?
If yes, we can help.
We own property in several counties, can you help in any of them?
Yes.
We are a business, can you help?
Yes.
Is your current tax valuation fair?
If you believe that it is then there is no need for our services. If you are not sure and would like to know or know that it is not fair, then we can help.
Is this worth it to seek a tax reduction?
That answer will depend on your circumstances. We have found that in some cases there is no appreciable tax liability difference. For others we have seen massive reductions on their tax bills.
What can your company do for me?
- We can provide advice and guidance to you as a consultant,
- We can work with your attorney or accountant,
- We can work on your behalf, as your power of attorney to reduce your tax liability.
- We can serve as an expert witness.
- We can perform professional broker opinions of valuations.
Our overall goal is to help the property owner and not have any tax payer not have the resources to deal with this issue alone.
What does this cost me?
Our rates depend on the service that is provided. Every client is charged an initial consultation and administration fee.
Are you a law firm?
No. However, our firm does work with any law firm that needs our professional services and we can work with your other service professionals on the tax issues. We also have a business affiliation with a North Carolina law firm.
Can I appeal or challenge the value myself?
Yes. For some this may be the best option. For others it is like doing surgery on yourself- it might work but it is dangerous. We have found over the past two years that providing clients with the basic information can help some property owners and businessmen. However, when the issues are more than just correcting a listing mistake, it tends to be better to have a professional help.
The county staff has offered to meet with me to see if they can help me. Should I do that?
Maybe, but why? You get one opportunity to work through the valuation process. Why not start with someone on your side?
I have already spoken with the county and I don't like what they said, I don't like the outcome. Is it too late to do anything?
That depends. We might be able to assist you. If you are still within the initial time to appeal, we can help.
FAQ - Reappraisals
Why does North Carolina have a property tax?
Property tax in some form is used to fund local governments (cities and counties), schools, social services, law enforcement etc.
Who is responsible for the laws, which govern property taxation?
The General Assembly, consisting of Senators and Representatives from each area of the state developed the laws governing property taxation. These laws are listed in N. C. General Statute 105, also known as the Machinery Act.
Why doesn’t the state administer the process?
The State did administer the process until 1920, when they gave the responsibility to each county. Property tax was designated to fund local services. Because needs vary from county to county, the State provided laws to allow local elected officials to determine community needs and set tax rates to raise revenue to fund the needs of their area.
When does the revaluation go into effect?
January 1, 2006 is the effective date. The bills created based on the new values will be mailed in September 2006.
Do notices reflect reductions for the elderly or disabled exclusion?
No Notices only indicate the assessed value.
Does North Carolina have a fractional assessment?
No. Property is appraised and taxed at 100% of its market value.
Why is the tax value sometimes lower than the market value?
This occurs during the lapse of time between revaluations. In the year of a revaluation, we are required to value property at 100% of its market value. If no changes are made this value is maintained every year until the next revaluation.
If the owner adds a house or other improvement between revaluations, that improvement is added based on costs developed for the year of the last revaluation, not current costs. Even if no improvements are made, real estate usually increases in value each year. For most property this means that in the later years of a revaluation cycle, the assessed value is less than the actual market value.
How can appraisers adequately value property by computer without going into
the detail that is required by lending institutions? How
can appraisers “ride by” and value property?
During the 1990 revaluation process all properties in the county were visited. The improvements were measured and information was gathered about the same details considered by fee appraisers. Number of baths, fireplaces, and amount of basement area were some of the question asked by the data collectors. This information has been maintained in the assessment database on the county computer system. Whenever an appraiser visits a property, this information is updated.
Mass appraisal is the process of calculating current replacement costs of improvements, adjusting for age and depreciation and adding land value to produce an assessed value.
A field review allows the appraiser to make adjustments for visual differences. The appraiser can also decide to make a more detailed inspection of the property during the field review process. As part of the field review, the appraiser considers all factors that effect value of the neighborhood and individual residence.
What factors might cause the assessment to be higher or lower than the sale price of a property?
A distressed sale, foreclosure, or auction of property is not considered a fair market transaction.
Conditions that existed at the time of sale may have been corrected since the sale restoring the value. For example, a house that was sold with damage that has been repaired since the sale now has a market value higher than the sale price.
A sale between relatives or related companies is not a fair market sale.
The property may have been rezoned since the sale date. The new zoning may no longer allow the use planned by the purchaser at the time of sale. Or the property may have a zoning change that increases it value by allowing for additional uses such as commercial or industrial.
Will the County buy my property at the appraised value?
No. The purpose of the appeal process is to exchange information about the market value of the property.
How will the revaluation effect my escrow or mortgage?
Unknown, the tax rate will not be set until June, 2006
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