Did Your Real Property Taxes Increase in 2021?
By: Laura MacGregor Comek, Esq.
Have you received notice from your County Auditor that your property values have been increased? In Franklin County, it has been reported that a 20% increase occurred across the board. In many cases, values have increased, based upon a computer formula that seeks to forecast values based upon other recent sales.
Higher values mean higher taxes.
If you want to challenge your value and reduce taxes, it must be filed by March 31, 2021 - NO EXCEPTIONS.
There are a few important considerations if you want to challenge a value:
- The County’s computer program is not infallible. Run your own comparables, check recent sales to validate the computer modeling. You can get assistance from your realtor too. If you believe the value is high, consider seeking redress now.
- You can challenge value with an appraisal. That will require three years of rent rolls and financials. Market comparable sales may also be relevant evidence of value.
- The current value may not include recent sales. In other words, if you recently purchased or sold homes, land, lots, buildings, etc., for less than the new value you may file to obtain the sale value. The sale must be a recent, arms- length sale to be valid for this purpose.
- There are rules about WHO may file and HOW OFTEN.
- Real property taxes billed in arrears. Filing now in 2021 is actually to address the tax lien date January 1, 2020. Several Central Ohio Counties just recently performed their triennial updates, so the value of January 1, 2020 will be carried forward for 2021 and 2022 … unless certain exceptions apply.
- There are occasions where being more strategic about your filing has important implications on value. COVID-19 may not be a valid reason to file in 2021 … largely because the events of the COVID 19 Pandemic did not occur until AFTER January 1, 2020. Even then, a case must be proven with evidence of value, losses, etc., for the SPECIFIC tax lien date to which a value applies. It may be worthwhile to wait until 2022 for the prior year of 2021.
Board of Revision Complaints Against The Valuation Of Property must be filed by March 31 of each year. You may only go back 1 year to obtain a new value, so be diligent!!!! Individual persons are only permitted to file complaints on properties they personally own. Consult a legal professional before filing, as professionals are needed for most commercial cases. Excluding a few specific exceptions, property owners can file only 1 time every 3 years in most cases.
Finally, please be mindful and diligent about keeping tabs on values. Even properties in CAUV, or in tax abated areas could be affected in future years. Big consequences may apply.
For specific inquiries, please feel free to contact me.
EFFICIENT FINANCING FOR BUILDING EFFICIENCY
Justin Kale, CEM/Co-founder and Director at Energility explains the benefits of the PACE program. "Commercial real estate owners can add value to their assets by using the CPACE (Commercial Property Assessed Clean Energy) program which enables capital improvements to building systems to be financed through an assessment. Properly designed, energy efficient system retrofits or adding renewable energy systems are eligible to be funded by reducing energy and maintenance costs to pay the property assessment. This cash flow positive investment strategy enables owners to offer best in class spaces for their occupants."
Links For Reference:
Largest Sales 2021 Year To Date
Central Ohio Area
6198 Green Pointe Dr., Groveport, OH
Sales Price: $56,100,000
8355 Highfield Dr., Lewis Center, OH
Sales Price: $31,600,000
3100 Easton Square Pl., Columbus, OH
Sales Price: $18,600,000
1755 S 20th St., Columbus, OH
Sales Price: $17,700,000
6670 Perimeter Dr., Dublin, OH
Sales Price: $14,500,000
7690 New Market Center Way, Columbus, OH
Sales Price: $9,000,000
501 Schrock Rd., Columbus, OH
Sales Price: $5,575,000
2100 Cloverleaf St., Columbus, OH
Sales Price: $5,000,000
5855 Frantz Rd., Dublin, OH
Sales Price: $1,840,000
3911 S Hamilton Rd., Groveport, OH
Sales Price: $1,428,500
4825 Knightsbridge Blvd., Columbus, OH
Sales Price: $1,330,000
445 Phillipi Rd., Columbus, OH
Sales Price: $1,325,000