# Taxable valuation over the top



## michiganmutt (Nov 30, 2012)

So after may years of scrimping and saving I'm finally able to purchase some vacant land as my "dream" a couple of years ago.. However the mail comes this week and to my dismay there's a letter from the local assessor stating that they're "doubling" the assessed value of the property from 2014.. I received a e-mail stating that this a mandated increase for all property by the county.. Needless to say after some minor investigation I find that not everyone's assessment went up... So I'll have to take off a day from work travel north and see if I can get any type of reasonable explanation.. How does one go about "fighting city hall"? At this rate they're going to tax me off my property..


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## alex-v (Mar 24, 2005)

michiganmutt said:


> .... How does one go about "fighting city hall"? At this rate they're going to tax me off my property..


People fight their assessments all the time. Sometimes they win and sometimes they loose.

While you are waiting for responses to the thread you can do a google search using the keywords:
lower property tax

Google will give some possible reference pages. At the bottom will be other suggested search words. You can include Michigan in the search keywords for something a bit closer to home.


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## Rudi's Dad (May 4, 2004)

I had 40 acres of vacant land, NON HOMESTEAD. That is a big part of why I sold it. If you dont live there, the assessor considers you open and fair game to pile the taxes on.


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## Fishndude (Feb 22, 2003)

Take them the closing documents from the purchase of the property, and ask that they tax you on the price you paid for it. Unless you got a total steal of a deal, or purchased the property some time ago, they should honor your request. 
Non-homesteaded taxes are roughly double what you would pay if the property was your primary residence. Go ahead and build a cabin on it, and see what happens to the taxes. :yikes: Along those lines, here is a word of advice. If you decide to build, leave the cabin in "rough finished" shape. You can plumb it, and run electric, and gas. But leave the ceilings and some walls unfinished, and you can avoid paying for a completely "improved" property. Of course it will be a seasonal cabin that way.


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## bucko12pt (Dec 9, 2004)

The first step is to appeal to the Township Board of Review. I think you might already be too late for that, but you can also talk to your assessor. 

It doesn't make sense that they would double it, unless they are perhaps changing your zoning classification? If it's vacant land it should probably be Forest/Recreation and maybe they are changing it to Residential?

They did that to us when we first bought our camp property, telling us that we got a good deal, but they were assessing us higher. We took the county all the way to the State Tax Tribunal and won. They had to rebate us a considerable amount (the process took three years) for the three years we had paid and they weren't happy, but they were wrong doing what they did. 

I would not hesitate, if you just got the letter, I would complain about that, that you were not allowed an appeal if you received it late.


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## michiganmutt (Nov 30, 2012)

Thanks for the advise.. The township review is this coming Friday.. From what I hear there should be a large turn out.. I'm trying to get comp's etc but nothing has sold that's comparable... Are there attorneys that specialize in this??? I guess you gotta fight fire with fire... It just rubs me, that some assessor can just stick it to you.. Llfe is complicated enough let alone dealing with some rouge government official... I just want to sit in my own tree stand in peace and quiet.


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## JDSwan87 (Aug 15, 2010)

Another thing you might want to check into is what % they have set up as AG and what % they have set up as residential. Also, make sure they don't have you classified as some sort of income property. Rental houses in my township, the winter taxes double if its an income property...


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## multibeard (Mar 3, 2002)

The fun of Board of Review.

I bought a permit to build a 12 X 20 addition on my house the beginning of summer. Come the end of Feb. the next year I get a tremendous jump in my assessment.

Off to the Board of Review I go. First question I asked was DID I Build It.
I got the same answer a half dozen times "YOU BOUGHT A PERMIT.

MY next Q was "If I built it what is it? One big room a Fancy Kitchen or what. NO answer.

I then asked how did you come up with this assessment. They went to my permit and looked at what I was charged for the permit. In other words they were using the building inspector fees to assess off of. 

I asked them when did Lyle become a certified assessor. I got the assessment lowered by 10%.

From the board of review I went to the building inspectors office and told him what they were doing. He called in his secretary and told her to black out his fees on the permit forums that she sent to the townships.

I have a non homestead 30 acre parcel. It only went up $1400 from last year. Taxes prior to this increase are a little over $300. The total taxes are based on what you are paying on. Road millage, school millage etc.


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## 2508speed (Jan 6, 2011)

Up where I live we always have votes to raise property taxes on non homestead property. It's a joke. Local politicians saying it won't cost us thing. I always vote no becauseI feel it's not fair on the people who our economy depends on. The Tourists.


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## 12Point (Mar 18, 2008)

Once a property is sold the taxable value and SEV become uncapped. I'm assumingthe previous owner had the property for a long period of time. When this happens, the SEV and taxable value are not the same. The previous owner paid low taxes but their SEV may have been quite higher than the taxable value. Once its sold, the assessor will assess the property to current values and the taxable value will be the same as the SEV. Typically its based on the sales price unless its a foreclosure. 

Ask to see the Township's "tax card". This document contains the values the assessor uses to value your property. Residential, ag etc. It also has values for timber, swamp, etc. Is your property wet or swampy? If so you should be able to lower your taxes. 

Was the property exempt from homestead taxes (18) mills) with the prior owner? This would be the case if the owner lived on adjacent property or it was classified as Ag. 

Google "wetland mapper". You can type in your address and see if there are any wetlands on the property. Also FEMA has maps that show floodplains. Use these tools to lower your taxable value

Sent from my SPH-D700 using Ohub Campfire mobile app


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## michiganmutt (Nov 30, 2012)

12 point, Thanks for the advice... Especially about the tax card, the assessor had 2 of the parcels listed as lakefront which they are not.. Thus I expect an adjustment to be made.


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## Downriver Tackle (Dec 24, 2004)

Should have bought around here. Just got my statement. TV is $8200!!!! Yes, 8-thousand, two hundred dollars!!! For the home and 2 acres.  :lol: :lol: Was around $74,000 when I bought it.  Don't plan on selling, so no complaints here. 

Funny thing is that they value my adjoining land at $3500 per acre, so my house is valued at $4700. With a $60k boat in the driveway. I AM white trash now! :lol:


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## 2508speed (Jan 6, 2011)

Downriver Tackle said:


> Should have bought around here. Just got my statement. TV is $8200!!!! Yes, 8-thousand, two hundred dollars!!! For the home and 2 acres.  :lol: :lol: Was around $74,000 when I bought it.  Don't plan on selling, so no complaints here.
> 
> Funny thing is that they value my adjoining land at $3500 per acre, so my house is valued at $4700. With a $60k boat in the driveway. I AM white trash now! :lol:


Don't understand! Re-Read your statement. Must mean $82'000. Or it's a misprint.


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## Petronius (Oct 13, 2010)

Downriver Tackle said:


> Should have bought around here. Just got my statement. TV is $8200!!!! Yes, 8-thousand, two hundred dollars!!! For the home and 2 acres.  :lol: :lol: Was around $74,000 when I bought it.  Don't plan on selling, so no complaints here.
> 
> Funny thing is that they value my adjoining land at $3500 per acre, so my house is valued at $4700. With a $60k boat in the driveway. I AM white trash now! :lol:


I think the statement you were sent is a mistake. I would go to the assessors office and get it corrected. :lol:
Actually, keep your mouth shut and don't let anyone else know. I doubt it will be caught unless someone actually looks at it.


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## Downriver Tackle (Dec 24, 2004)

2508speed said:


> Don't understand! Re-Read your statement. Must mean $82'000. Or it's a misprint.


 Yep, it was a type-o. I thought it was $8200. It's $8800. :lol: Heck, decent homes are selling as foreclosures around here for $10,000-20,000 now. :yikes: Can't beat the less than $500 per year in taxes though!!


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## plugger (Aug 8, 2001)

Where are you located ? I know a lot of people have been hurt by loss of value. Declining values are a hard concept for a lot of us older people to understand. Increases that lead to increased taxes are a burden on older people but younger people that bought at the wrong time, my son was one, took a real hit.


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## Downriver Tackle (Dec 24, 2004)

12Point said:


> Once a property is sold the taxable value and SEV become uncapped. I'm assumingthe previous owner had the property for a long period of time. When this happens, the SEV and taxable value are not the same. The previous owner paid low taxes but their SEV may have been quite higher than the taxable value. Once its sold, the assessor will assess the property to current values and the taxable value will be the same as the SEV. Typically its based on the sales price unless its a foreclosure.
> 
> Ask to see the Township's "tax card". This document contains the values the assessor uses to value your property. Residential, ag etc. It also has values for timber, swamp, etc. Is your property wet or swampy? If so you should be able to lower your taxes.
> 
> ...


 I was wondering how his value took such a big jump. I thought there was a cap tied to inflation or something, but forgot about it being removed when sold.


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## JimP (Feb 8, 2002)

Downriver Tackle said:


> Yep, it was a type-o. I thought it was $8200. It's $8800. :lol: Heck, decent homes are selling as foreclosures around here for $10,000-20,000 now. :yikes: Can't beat the less than $500 per year in taxes though!!


If I'm not mistaken, double that as cash value.
the homestead deduction is 100% looks like... = 1/2.


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## Downriver Tackle (Dec 24, 2004)

jimp said:


> If I'm not mistaken, double that as cash value.
> the homestead deduction is 100% looks like... = 1/2.


 Pretty much. Realistic market value is about $20-25k right now. That formula doesn't hold true though in a volatile housing market. This home is just getting back to "normal" on the assessment. Was over-assessed for years. My house in Lincoln Park still had a taxable value of around $40k when it sold for $14k! Lost $136k in value over 6 years, but the tax assessments never dropped anywhere near as fast as the real market value.


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## alex-v (Mar 24, 2005)

Downriver Tackle said:


> Y Heck, decent homes are selling as foreclosures around here for $10,000-20,000 now. :yikes: Can't beat the less than $500 per year in taxes though!!


Then it goes up to closer to market prices as soon as the deed changes, at least that was my impression and what happened with this house.


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## Downriver Tackle (Dec 24, 2004)

alex-v said:


> Then it goes up to closer to market prices as soon as the deed changes, at least that was my impression and what happened with this house.



Sounds like that's what happened to him, but it depends on which way the market is moving. If values are dropping, the assessment is only going to tick down a little at a time to benefit the tax collector. If it's trending up, you're going to get socked on the assessment after the sale to the tax collectors greatest advantage. They don't play fair! :lol:


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## walleyeman2006 (Sep 12, 2006)

Make sure you get title insurnce....my house was originally tied to an 80 acre farm....

It got parted off the another acre added to the yard in the late 90s....

The farm land got auctioned off along with my house two years ago ....had my divorce not been just getting over with i may never have even known andthe county was double dipping taxes ...

During this mess my house was put in and taken out of homestead status illegally by the township


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## michiganmutt (Nov 30, 2012)

Well the notice arrived and yes they lowered the valuation.. There were 2 separate parcels, the one they agreed to the valuation that I put on the property, the second they came down to within 2K of what I asked for... So it was worth taking off the day of work and going to the township... Thanks to everyone for the advice as it helped greatly in resolving the issue..


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## hillbillie (Jan 16, 2011)

2508speed said:


> Up where I live we always have votes to raise property taxes on non homestead property. It's a joke. Local politicians saying it won't cost us thing. I always vote no becauseI feel it's not fair on the people who our economy depends on. The Tourists.


I feel this is another example of taxation without representation. :rant:

No wonder people are abandoning or not maintaining their rec homes and properties. This is contributing to your area becoming a ghetto, at least on non waterfront property.


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## setterpoint (Feb 20, 2015)

I own two half ac. in Kalkaska county Michigan I am going to build a small cabin on. first I found out electric is going to be about 8 thousand dollars then permit to build is 6 hundred then septic and well permits just to have electric guy come out 75 dollars about 10 thousand and haven't even got foundation dug yet. its like they don't want no one to build .I understand there would be some cost but that's just to get started


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