Most of you probably received your revised assessments in the mail by now and most of you are probably not too happy if you live in Charlottesville. In Charlottesville, housing assessments rose an average of 2.3% with neighborhoods such as Belmont, Page and Fifeville rising eight, nine and 18 percent, respectively. Holy snickeys.
That sounds insane. Doing a little researching, Jim Duncan has some clues as to why, in a declining housing market, the City can issue assessment increases. He explains:
Assessment that is, by code, supposed to be 100% of market value – this is, and has been, with regards to true market value, irrelevant, as it is not a up-to-date as a market analysis reflecting current market value, as they are done once yearly. Up until last year, they were done, in Albemarle, every two years. Nelson does them every five, I believe…Government’s assessment is a take on fair market value, but is less accurate, in my opinion, as it is subjected to less critical analysis and not subject to the open market.
So, we’re going to use out of date metrics to increase taxes for people when we’re facing obvious housing deflation and job losses? Sounds like someone is taking crazy pills. Does this add more pain to our local economy?
Update from Ric Barrick via cvillenews:
Let me just make a few corrections here, outside of the water bill issue. The figures used in 29’s piece involved new construction. Why is that important? The average homeowner concerned about assessment should not be focussed on that number because it reflects total taxable property in that neighborhood. That includes any increase in assessment in existing property AND new property built since last year. If they heard the Channel 29 report they would assume property in Fifeville is going up 18%. The reality is that the assessed property from 2007 to 2008 in Fifeville went up 11% on average. Some property was assessed higher, some lower as it is an statistical average. Using 18% is misleading since it represents the increase in total property value in that neighborhood and most who heard that report would assume their house value and taxable assessment went up by that amount. I make this correction because we have been dealing with a lot of calls concerned after that report. I have asked for a correction to the original story which was teased as if you live in Charlottesville your tax bill will go up. Not true. Nearly 30 out of the 48 neighborhoods will average a flat assessment or a decrease. This is the second smallest increase in assessment in the City’s history. That should have been the story.
[via NBC29] [pic from JoeLogan]
Related posts:
- Charlottesville Real Estate Ready to Hurt?
- Interview with the Villains of Charlottesville’s Real Estate Bubble Blog
- Cville Real Estate Blogging is Self-Promoting LAMENESS
The city can increase assessments because of one party rule. There is ZERO penalty to be paid for doing so and it’s much easier for City Council than actually cutting spending. What is really does is set up a serious problems next year when assesments will drop becasue sales of existing homes will mandate it.
The assessment of Rancho Notso Grande did not go up or down one penny. I dont know if this is good or bad.
what about the dilapidated porch?
@ 3 Rotting and rotting fast. No mailman staring up at me from a large hole just yet, but its only a matter of time.
Its seems that 2009 will be the year that everything breaks. My turntables. My porch. My washing machine. My sink. My bank account. Thing is, its the year of the Ox, and I am a Goat. The Ox hates Goats and places in his way a million tiny annoyances. But whatever, most folks has it rough right now, goat or no… I just have to remember my mantra du jour:
It will always be ok in the end.
If it is not ok, it is not the end.
I bet my neighborhood has gone down because it seems like petty crime/random gunfire is on the rise. I don’t own, so I don’t know for sure. My rent better not go up this year.
@1 — It has more to do with the (un)balance of power between city council & the city manager. City council is pretty toothless no matter what its composition.
It doesn’t help that City Council hasn’t met a dollar it didn’t want to immediately spend at the beheast of the city manager and staff.
That’s insane. Here in the county, our assessments have dropped. At least, for me and several others I know of.
Byo… are you fucking someone in City Hall? Mine went up 29%. Bastards.
@ 9 Yours near me, or yours up the way? Cause yours near me got done up stylee, where as mine is slowly rotting (although the inside is lookin fly now).
Yours up the way is another world, and I have no idea what thats all about…
I’m talking about the one where I can stand on the porch roof and see you taking a crap.
Ahhh, but look how much you put into it!
If the city wants to save 93k a year they can start by eliminating Ric Barrick’s job.
93K??? That’s insane! Would be interesting to see the salaries of all city employees again. The Daily Progress published a list many years ago.