Tax assessor says nearly 2,800 parcels went up in assessed value over last year

So — did your home increase or decrease in assessed value over the past 12 months of the worst housing deflation since the Great Depression?

As far as the Fayette County Tax Assessor’s office is concerned, most home values stayed the same, except for a small number of reassessments.

The tax assessor recently sent out approximately 7,754 residential assessment notices indicating that the fair market values of those properties had either increased, decreased or stayed the same.

That number represents approximately 18.5 percent of the county’s nearly 42,000 residential parcels. Properties not receiving reassessment notices — more than 80 percent of all parcels — retain the same assessed value as last year.

The notices were split nearly evenly between property values that increased, decreased or saw no change. Assessments reflecting no change were a portion of those where a “return of value” had been filed in April.

Of the nearly 7,754 assessment notices mailed recently, approximately 31 percent decreased in value and approximately 36 percent increased in value, while the remaining 33 percent showed no change in fair market value, said Chief Appraiser Joel Benton.

The 36 percent of residential properties that increased in value had a range as low as $10 and as high as $3.6 million, with an average increase of approximately $44,500.

The upper end figure, said Benton, involved property owned by John Wieland Homes that had been annexed into Peachtree City.

The 31 percent of residential properties that saw a decrease in value ranged from $60 to $816,200 across the county, with an average decrease of approximately $36,000.

The top end figure involved a home on Old Fort Road that had been heavily vandalized and was in extreme disrepair due to workmanship, said Benton.

Benton was clear that the numerous variables involved in determining an increase or decrease were exemplified in the range of property values in the current mailing. And the range of values that increased or decreased varied tremendously, depending on the specifics of the case, he said.

There are significant numbers of variables that are considered when determining if the value of a home or property has increased or decreased, Benton said, regardless if a “return of value” declaration has been filed.

He said examples of property increasing in value included factors such as new construction, the completion of a home or improvements to the property like a garage, an additional room or a swimming pool.

Citing several examples where values would decrease, Benton said aside from the sales of comparable homes in the area and foreclosures, there are also issues such as homes that have suffered structural damage and those for which maintenance had been deferred, as in the case of prior roof damage that had not been addressed.

Citing a further example involving undeveloped property, Benton said there had been cases where a developer had purchased property for a subdivision and had paid to have the infrastructure installed but had not been able to sell the lots.

Where appropriate, the value of those lots is adjusted downward, Benton said, adding that such action is customary in any year under those circumstances.

The nearly 33 percent of property owners receiving an assessment notice with no change in the value got the mailing because they filed the “return of value” in April, stating their belief that their property had lost value. Anyone filing a return of value will receive an assessment, regardless the determination of fair market value.

A total of 3,396 Fayette County parcels had a return of value filed in April. Of those, 723 residential properties, or 21.3 percent, were determined by the tax assessor’s office to have decreased in value.

Benton said the majority of homes held their value due to Fayette’s relatively stable housing market, adding that appraisers took foreclosures, as well as the sale of like properties, into consideration when making their determinations on the return of value declarations.

But in terms of the 723 homes whose fair market value was reduced, Benton said those reductions ranged from 5 percent to 30 percent. The majority of the reductions were in Fayetteville and the immediate surrounding area and in the north part of the county, he said.

Benton said that, in terms of sale prices, Fayette has been more stable compared to many metro Atlanta counties. The reasons are likely variable, Benton said, though factors such as the public school system could be a part of the reason.

“Everything comes down to what happens locally, not regionally,” Benton said.

Benton said the return of value declarations will not be not final until approved by the state. Those residents whose fair market value was not decreased can still file an appeal with the Board of Equalization or can take the matter to Superior Court, Benton said.

Referencing the status of total home sales and prices in Fayette County for the past three years in a different context, Benton said there were approximately 1,000 home sales in 2008 compared to more than 2,000 sales in 2007 and, again, more than 2,000 in 2006. And of the nearly 1,000 sales in 2008, Benton said approximately 29 percent of those sold for a price lower than the specific fair market value assigned by the assessor’s office while the remaining 71 percent sold for a price higher than the listed fair market value.

Commenting on another aspect of property taxes and the upcoming property tax bill, Tax Commissioner George Wingo reminded taxpayers that the Homestead Tax Relief Grant appropriated by the General Assembly and continued by Gov. Sonny Perdue had funded an increased homestead exemption for the past several years but will not be available this year.

The tax credit amounted effectively to a $200-300 decrease on tax bills in recent years. That credit no longer exists and will result in that amount being included on the tax bill with no credit to offset it.

Wingo said the recently passed House Bill 143 requires that the grant will only be made available in the future if state revenues grow at least 3 percent plus the rate of inflation. Wingo suggested that homeowners prepare for the increase before tax bills are issued later this year.