tax man comes a knockin

[inphx]

Ok Gents and Gals…

You may deduce from my lurking on the forums, a slab question, and the recent conex container dilemma thread that I may be planning a new garage build.

A few months ago there was a thread about what would you do differently and how large is too large… you all said build the largest you can. Well I submitted plans to the city for a 50x100 steel building and the accessory new build residence a day ago . I could not get any indication of the tax implications of what I am doing. My significant other says it devalues the home but on the building permit they ask for how many sq feet under roof. I can afford the build but I don’t want to be saddled with a monthly tax bill that’s out of whack.

I am shoe horning the build on “view lot” in a somewhat higher end neighborhood with compliance to zoning for scenic corridors, natural and open space and hoa exclusions so there are no comparables for a home with a ‘barn’.

Have any of you had assessment regrets?

 

[e-tek]

Assessment regrets?? If you love your garage - enough to pour $30K or more into one - then who cares about another $50 a month in a tax hike?? I gladly pay the extra taxes for all the upgrades we've done, as well as our outrageous electrical bill for the shop and Hot Tub - not to mention the extra 50 lights we put into the house during a reno!

Ya gotta pay to play.

 

[inphx]

Thanks! needed that.

 

[Falcon67]

Save your receipts for your protest. Hard to tell what they are going to hit you for. If they are like the assessor here, an appraisal of the plans will get you close. Texas requires they assess at market conditions. Very hard with no comparables.

 

[bookittyrun]

lots of windows... no, make the whole thing glass... they may never see you have a new garage space...

 

[cdd1]

Assessment regrets?? If you love your garage - enough to pour $30K or more into one - then who cares about another $50 a month in a tax hike?? I gladly pay the extra taxes for all the upgrades we've done, as well as our outrageous electrical bill for the shop and Hot Tub - not to mention the extra 50 lights we put into the house during a reno!

Ya gotta pay to play.

Canadian Alert! They love taxes!

j/k

 

[ddawg16]

They came out to asses my garage once the final inspection was done. No one was home...he looked in the window...saw the spiral stair case....windows up top...and thought we had a rec room up there....hence, they 'initially' increased my assesed value at $60K more.

I called...talked to the guy...who was very friendly and understanding...explained their side......I explained mine....he sent the guy back out (when I was home)...guy took one look upstairs...saw all the junk "Yep, storage"....

New added value...$28K.....or, $280/yr.....I can live with that...

 

[nehog]

You should ask a property appraiser this question. A local one, as he will have to be aware of your property's specifics, and show him the plans.

Generally a tax appraisal is not a market appraisal but the appraiser can give you a rough idea of what it will amount to.

Generally a tax appraisal will assume the addition adds value while a sales appraisal will not always do the same. However, it might add or it might detract from the value. Again, only a professional in your area who's intimately aware of local conditions and rules can answer that question.

 

[ForceFed70]

In my area they did it a little different.

When I submitted my building plans, etc for permit one of the questions was what the building value would be. I told them $30k and they accepted it.

But when I had to revise the plans to add an engineered wall, they revised the building value to $32k.

That's what they use for the property taxes...my latest property tax statement now values my house/lot as being worth $32k more than it did last year.

 

[pattenp]

That's not true in my neck of the woods. Virginia requires by law all real estate assessments to be market based. The appraisal practices for real estate assessments and private fee appraisals are the same. The only difference is tax assessments are required to be set at a point in time to assure equity within the tax year, so you may see a more or lesser tax assessment than a private appraisal because of a market timing difference. I know this because I was a real estate assessor for 20 years before changing careers.

You should ask a property appraiser this question. A local one, as he will have to be aware of your property's specifics, and show him the plans.

Generally a tax appraisal is not a market appraisal but the appraiser can give you a rough idea of what it will amount to.

Generally a tax appraisal will assume the addition adds value while a sales appraisal will not always do the same. However, it might add or it might detract from the value. Again, only a professional in your area who's intimately aware of local conditions and rules can answer that question.