Your browser does not support JavaScript
 

Blog & News

Reducing Your Real Estate Taxes
Posted By:  Rob Siegmann MBA
Tuesday, February 12, 2019

Reducing Your Real Estate Taxes

If you’re like me, you don’t enjoy paying more tax than necessary.  One area to occasionally review is your property taxes, and there’s still time to review and appeal if you may be paying tax on a higher home value than what it might sell for on the open market. Despite possible savings of thousands of dollars, only 2% of homeowners appeal their assessments, which is the first step in lowering real estate taxes.

And here's an even bigger disconnect: Some 60% of properties are overvalued by assessors, according to the National Taxpayers Union. Having appealed for fair assessments of my home and investment properties, I would suggest the process is not complicated, nor should you feel intimidated if asked to defend your appeal in person.

For example, Hamilton County asks for a simple, one page “complaint” form and is required to be submitted before March 31st. The process is outlined here, but if don’t live in Hamilton County, you’re a simple google search away to discover the process of your county. I suggest to Google “property value appeal process for (BLANK) county, (STATE)”.

While the process is surprisingly easy, you should first make an honest assessment of what your property is worth and compare this with what the county auditor states either online or on your recent tax bill. Your initial assessment could be based on a number of sources such as: www.zillow.com, comparable sales in the neighborhood, a realtor’s opinion, or a formal report completed by an independent appraiser. The last item will cost several hundred dollars, so make sure the cost is worthwhile.

Beyond adjusting your value due to market fluctuations, here are several other items to consider:

1. Check your property description. If your assessor has you down for four bedrooms -- and you only have three -- you can correct the error if they visit your property or you submit building drawings. Less living space, of course, means a lower tax bill. Your property description should be accurate in terms of square footage, rooms and amenities.

2. Do you qualify for exemptions? You automatically receive a "homestead" exemption for living in your home and not renting it out. Exemptions are also available for seniors, veterans and the disabled. To find out if you qualify, check out your assessor's website or call them.

3. Your property has some special issues. Let's say a natural disaster hit your neighborhood and a tree fell on your house or there's other damage you haven't been able to repair. Or your neighborhood was flooded. You can note these circumstances and ask for a lower assessment.

4. You transacted a recent sale and have a current appraisal. Whether you refinanced, just purchased your home, or had it appraised for other reasons, if a professional appraiser says your house is worth less than its assessed value, that's usually pretty solid evidence.

Most county auditors do their best to get all of your home facts and values accurately reflected on your tax bill. But, let’s face it, mistakes happen, markets change and you should review your home every few years to ensure you are paying tax on what a reasonable person might buy your house from you.



 
 
Subscribe To Our Blog

Blog Categories

  • Business Owners
  • Client Experience
  • College Planning
  • Estate Planning
  • Executive Compensation
  • Firm Updates
  • In the News
  • Investments & Market Updates
  • Net Worth
  • Retirement Planning
  • Security & Privacy
  • Taxes
    • 04/18/2019 - Why You Should Provide Your Ta
    • 02/12/2019 - Reducing Your Real Estate Taxe
    • 12/04/2018 - Payments to the IRS through "D
    • 10/18/2018 - Charitable giving under the ne
    • 08/01/2018 - Value of Roth Conversions
    • 06/18/2018 - Charitable Gifts from your IRA
    • 04/27/2018 - The Tax Saving Power of a Heal
    • 12/21/2017 - Tax Cuts and Jobs Act of 2017
    • 11/03/2017 - 2017 Year End Tax Planning Str
    • 10/19/2017 - Tax Preparation is not Tax Pla
    • 09/17/2014 - 2013 Obamacare Taxes for High
    • 09/17/2014 - American Taxpayer Relief Act o
 
 

WE'VE BEEN LISTENING
FOR OVER 25 YEARS

Life brings many transitions. Find the right advisor to fit your needs on a fee-only basis, and take the first step in the journey. Total Wealth Planning's team of Certified Financial Planners® guides Cincinnati families and associates through transition.
 
Total Wealth Planning Associations
WE ARE PROUDLY ASSOCIATED WITH

CONTACT INFO


 

WHAT'S NEW AT TWP


       
CORPORATE EXECUTIVES

WEALTH-BUILDING FAMILIES

RETIREES

BUSINESS OWNERS
ECONOMIC OUTLOOK

BLOG & NEWS

VIDEO LIBRARY

   
4665 Cornell Rd. Suite 160, Cincinnati, OH 45241 4665 Cornell Rd. Suite 160, Cincinnati, OH 45241
513-984-6696 513-984-6696
info@twpteam.com info@twpteam.com
Why You Should Provide Your Tax Return to Your Financial Advisor Each Year
Thursday, April 18, 2019


SEE MORE >

Follow us on Google+
Blog & News
Follow us on Twitter
Find us on Facebook
DISCLOSURES | COPYRIGHT © 2019. TOTAL WEALTH PLANNING. ALL RIGHTS RESERVED.
GET STARTED
READY TO
GET STARTED?