Assessed Value

[Cy4Patriots]

I'm in the market to buy a house in the near future and was wondering how much the assessed value comes into play?

I've seen most houses in the Ames area are going for 30-35k over the assessed price.

The house I'm currently wanting is right at 47k over assessed value.

Obviously, they don't take into account any upgrades that were put in, but it has to mean something right?

 

[Cyclonepride]

Cities like to lower assessed values while raising rates to fool people into thinking they're getting a fair shake.

 

[Incyte]

I'm in the market to buy a house in the near future and was wondering how much the assessed value comes into play?

I've seen most houses in the Ames area are going for 30-35k over the assessed price.

The house I'm currently wanting is right at 47k over assessed value.

Obviously, they don't take into account any upgrades that were put in, but it has to mean something right?

Look at comparable sales not assessed value. Assessed value is mostly meaningless in determining a home's market value.

 

[Incyte]

Cities like to lower assessed values while raising rates to fool people into thinking they're getting a fair shake.

The assessor's office is completely distinct from city government. Plus, most cities are at max levies anyway.

 

[Cyclonepride]

The assessor's office is completely distinct from city government. Plus, most cities are at max levies anyway.

All I know is that I get an announcement yearly that my assessment has gone down in value and my taxes have gone up. Someone's ******* me.

 

[ArgentCy]

As said assessed values can be all over the place and are useless when looking to buy or sell. They do affect how much you will pay in taxes and I would give a slight plus to a house that appears under assessed because you will pay fewer taxes. The state of Iowa just made our small town / county spend one millions dollars to redo every assessment in the county because they are so bad.

 

[cyflier]

Assessed Value is not Market Value. Market value is what matters when purchasing a home.

 

[kingcy]

Assessed value is how the they tax you compared to similar houses. The asking price is where the market is at when a house is for sale. If you buy a house over the assessed value don't be surprised when that value goes up.

 

[Gossamer]

Assessed value is how the they tax you compared to similar houses. The asking price is where the market is at when a house is for sale. If you buy a house over the assessed value don't be surprised when that value goes up.

not to be argumentative, but that's not entirely accurate. Your assessment has more to do with the tax value of your home and the aggregate of similar homes in your area...and that is not based solely on your purchase price. For example, after I purchased my home, my assessed value actually decreased.

Additionally, you all need to know that you can challenge your assessed value (something I've done) and have that value lowered. The key is looking at the adjacent values, comparing similarities between homes with lower values, and making the case that your home is NOT worth what they say it is.

Trust me, they aren't always right and very few people argue their homes value.

 

[mapnerd]

County and City assessors value residential land based on market values. So they look at sale prices, etc. The situation in the Ames area (and other areas in Iowa) is that the market is moving much faster than the government so that's why you see houses going for 30-40k over the assessed value. So, the assessed value is a good start but might not be exactly what you should pay. As said before, look at comparable sales. This will be very good info to have. Assessors are mandated by the Iowa Dept of Revenue to keep values within a certain range of market value. If they don't, the state will come in and change everything for them across the board (which isn't always the best solution).

Assessors do not set the taxes for properties. County Boards and school districts decide on their own tax rates.

Cyclonepride, I also don't believe that you get an assessment notice every year and it has gone down from the previous year. And your taxes go up each year. Something sounds fishy here. You should want your home value to periodically go up. If it isn't, maybe you should think about moving.

 

[Incyte]

County and City assessors value residential land based on market values. So they look at sale prices, etc. The situation in the Ames area (and other areas in Iowa) is that the market is moving much faster than the government so that's why you see houses going for 30-40k over the assessed value. So, the assessed value is a good start but might not be exactly what you should pay. As said before, look at comparable sales. This will be very good info to have. Assessors are mandated by the Iowa Dept of Revenue to keep values within a certain range of market value. If they don't, the state will come in and change everything for them across the board (which isn't always the best solution).

Assessors do not set the taxes for properties. County Boards and school districts decide on their own tax rates.

Cyclonepride, I also don't believe that you get an assessment notice every year and it has gone down from the previous year. And your taxes go up each year. Something sounds fishy here. You should want your home value to periodically go up. If it isn't, maybe you should think about moving.

In regard to Cyclonepride's situation, it could be that he is in a school district with high TIF debt too.