Is Market Value Determined by the Buyer from the viewpoint of our Gwinnett County Tax Assessor’s Office? Apparently not in this case….
All the Notices of Change in Assessment should have been mailed out to everyone in Gwinnett County by mid-April; however, I hear they are still being received by some of you. I’ve been gathering some interesting stories that I’d like to share.
(1) I had one person call me who shall remain anonymous. This person purchased a home in Gwinnett County in November 2009 for $575,000. The home had been on the market for a while and like many other neighborhoods, he felt that prices had continued to decline. He submitted his Tax Return Form prior to March 1st and indicated a market value of $540,000. He just received his letter in the mail and the Gwinnett County Tax Assessors office indicated the market value / appraised value of $770,000! I find that one very confusing. I would have thought that since he purchased the home in the last 6 months, that $575,000 would have been the market value. The buyer determines the value of the home. Where did the $770,000 come from? I looked at the comparable sales and this is a wide diversity of prices in that particular neighborhood, and there have been many sales in the $500,000’s recently.
(2) A friend of mine owns a home that was previously valued at $154,800 for the purpose of property taxes. In addition, she owned 2 adjacent lots that were not buildable. Years ago, the 2 lots did not pass the Percolation Test. One lot was 1.41 acres and was assessed for $44,700; the 2nd lot was .49 acres and was assessed at $2900. Prior to March 1st, whe submitted the Tax Return Form and indicated a home value of $125,000, the 1.41 acre lot at $25,000. When she received her Notice of Change in Assessment, she was quite surprised. Her home was appraised at $125,000; the 1.41 acre lot was appraised at $5700 and the other lot at $1000. Wow, what a savings she is going to see this year in property taxes!
However, let’s not forget the millage rate was increased in 2010!
Have a story to tell about your property taxes in Gwinnett County? Let’s hear them!
Have a home to sell or wanting to purchase your home? Call Joan at 770-356-4656
