Sunday, June 7, 2020

How To Protest Your Tax Appraisal

You got this year’s tax appraisal. It seems high. You want to protest it. Here’s what you do:

• Contact DFWmark. Email your name, property address and phone number to him (markhancockrealty@gmail.com).
• DFWmark makes a free Comparative Market Analysis (CMA) for you. Mark finds homes similar to your home in both size and age. He creates a market estimate CMA for you to consider for a protest. The CMA may support your protest on the grounds of Option 1 “Incorrect appraised (market) value.” Or maybe not.
• DFWmark will return this document plus a detailed explanation about the document.
• Sometimes there are mistakes and filing a protest will get the county to offer a corrected adjustment. If not, you can still collect information to present until shortly before a court date of your choice. However, the deadline to file a protest is absolute - often on or around May 15.

• If the CMA doesn’t support a protest, you may still proceed with a protest. A direct comparison analysis may support a protest on the grounds of Option 2 “Value is unequal compared with other properties.” You would need to present specific adjustments such as less-valuable property features or repair estimates from the comparable properties related to your property condition.
• You can then decide if you want to accept the county appraisal or file a protest.
• To file a protest before the deadline, go to the protest website listed on your Property Appraisal document and create an account. The address is efileprotest.collincad.org for Collin County.
• Complete the protest form. In Step 3, choose Option 1, 2 or BOTH (if they apply).
• Click the green button to file the protest.
• Once you have created a file and protested, you can upload supporting documents. These should include a protest letter from you - basically reword DFWmark’s cover letter. Then, upload the CMA or spreadsheet (if either or both support your claim), estimates of costs to make needed repairs, and photos of damaged or removed items (pools, patio covers, etc.) that the county considered in their appraisal.

• Once the deadline passes, the county Appraisal Review Board contacts you with an offer. You can accept or reject the offer.
     • If you accept the offer, the appraisal is agreed upon by you and the county. You pay that amount.
     • If you reject the offer, they will schedule a hearing date.
• At a hearing, you present your protest and the Appraisal Review Board makes a final determination.
• These taxes are finalized in October. Taxpayers are notified (billed) in December. Taxes must be paid in January before the February 1 deadline of the following year. Then, the cycle begins again.

• The appraisal amount is calculated from 1 Jan. 2020 to 31 Dec. 2020. You want a low number because you're taxed per each $100 of appraised value.
• The appraised amount is NOT the current market estimate of your home - where you want a high number. If you want to sell your house before June 15 while houses are selling fast at historic high prices, please let me know. I'd need to see the property to get a better current market number.

• If you’re uncertain about protesting the county appraisal, send me your information, and I can let you know where you stand until a day before the county deadline.

Here are links to many North Texas Central Appraisal Districts (CADs): Collin, CookeDallas, Denton, Ellis, GraysonJohnson, Kaufman, Rockwall and Tarrant.

I’ve Got Your Six!

Mark M. Hancock, GRI
REALTOR®

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