top of page
Search

The 2025 Deadline for Reducing Property Taxes & the Appeal Process

Writer's picture: Spring Valley, The Investor's BankSpring Valley, The Investor's Bank

A step-by-step video for appealing your residential & commercial assessed values





Smart Investing Calls for Reviewing Your County Assessment

We all understand that analyzing expenses is crucial to efficiency. A frequently neglected area for savings lies in your county's property valuation. Luckily for investors, these valuations often involve a lot of assumptions and can be contested by property owners on various grounds. The assessments are conducted through drive-by evaluations and mass reviews. Because of this lax process, counties do not have detailed information on comparable sales or the interior details of your property, which essentially means: THE COUNTY IS ESTIMATING THE VALUE OF YOUR ASSET.


The assessed value of your property is crucial in determining your real estate taxes, so it's advisable to review this value annually to avoid overpaying. At the very least, compare the valuations on your tax bills with the previous year to ensure the property value hasn't increased unnecessarily. When your county conducts a reevaluation, usually every three years but sometimes more often, it is natural for them to assess your property at a higher rate. This is when you should pay close attention and make sure you understand your property's market value.


Our 2024 video above offers best practice tips for appealing your assessed value in any county. The video uses Hamilton County as a case study, as 2023 was their triennial evaluation year where the county imposed hyper inflated values on many properties causing undue financial strain on owners and ultimately negatively impacting both individual owners and Hamilton County. Nonetheless, every county must have an appeal process to safeguard the interests of property owners.


Here is a list of deadlines for appeals in the surrounding counties:


Kenton County - Opened 1/1/25

Hamilton County - Due 3/31/25

Butler County - Due 3/31/25

Warren County - Due 3/31/25

Clermont County - Due 4/1/25

Campbell County - Due 5/15/25


The 4 Approaches to Appealing

There are essentially four methods to present your case to the Board of Revisions (BOR). Sometimes, these methods overlap, allowing you to provide various angles to support your case.


1.)  Contesting based on a Recent Sale

2.)  Contesting based on Property Condition

3.)  Contesting based on Comparable Sales

4.)  Contesting based on Income Production


The video details the supporting evidence needed for each approach.


Pro Tip: Know the difference between an Appraisal and a Broker’s Price Opinion (BPO) to determine the best report to use. Each has its specific merit. In my experience, a BPO offers an effective cost savings approach for cases that fall in the realm of normal.


Submitting Your Appeal

After evaluating your evidence, form an opinion on your property's fair market value and enter this value into your county's public tax calculator (in Hamilton County, this is located on your property's page under the "Tax Distribution" tab) to estimate your potential savings. This step generates the numbers that allow you to objectively assess whether pursuing your case is financially worthwhile. Consider whether the savings will be diminished by hiring a third-party professional like an appraiser, broker, or contractor. If you are an experienced real estate investor in valuation or contracting, you might consider the DIY approach and skip third-party reporting.


In addition to completing the application, it is essential to arrange your evidence into clear, concise reports accompanied by a cover letter that outlines your main arguments for value reduction.


BOR Appeal Windows Open Annually

You have the option to submit an annual appeal, which is a valuable tool for investors. In the investment community, it's common to encounter situations where a property is bought for less than the auditor's valuation, acquired in poor condition, or purchased with income that doesn't justify the auditor's valuation. It is advisable for investors to routinely assess the auditor's valuation for all property acquisitions.


Conclusion

Your property valuation has a compounding effect on your taxes. The current valuation will hold for the next several years and the current rate sets a basis for the next evaluation.


If your evidence shows that the county's valuation of your property is within a reasonable margin of error, we recommend NOT filing an appeal. Remember, reviewing these appeals involves using our tax dollars. The goal is to ensure you are not being excessively overcharged.





52 views0 comments

Commentaires


bottom of page