1 00:00:00,000 --> 00:00:07,480 So, there's a lot of misunderstanding about the role of assessors and how they affect 2 00:00:07,480 --> 00:00:09,760 the property tax that homeowners pay. 3 00:00:09,760 --> 00:00:14,240 When someone hears the term assessor, they seem to think of a scary figure reaching for 4 00:00:14,240 --> 00:00:15,480 their wallet. 5 00:00:15,480 --> 00:00:17,420 Not so. 6 00:00:17,420 --> 00:00:19,580 Assessors don't set tax rates. 7 00:00:19,580 --> 00:00:21,520 Assessors don't chase tax dollars. 8 00:00:21,520 --> 00:00:26,000 An assessor is interested in fairly determining property values, and they take great pride 9 00:00:26,000 --> 00:00:27,180 in it. 10 00:00:27,180 --> 00:00:30,060 Property tax is determined by a simple formula. 11 00:00:30,060 --> 00:00:33,660 Assessors only affect one of these variables, the value. 12 00:00:33,660 --> 00:00:36,780 And they do so with incredible accuracy. 13 00:00:36,780 --> 00:00:39,780 Assessors aren't tax collectors, or even tax setters. 14 00:00:39,780 --> 00:00:45,540 They're just fellow taxpayers, and their primary goal is to make everything fair and equitable. 15 00:00:45,540 --> 00:00:48,140 Imagine that you're in a restaurant with two friends. 16 00:00:48,140 --> 00:00:52,820 One orders a hot dog, one orders a plate of caviar, and you order a steak. 17 00:00:52,820 --> 00:00:57,560 The waiter comes to the table with a total bill of $100, but he doesn't know how much 18 00:00:57,560 --> 00:00:59,220 each of you should pay. 19 00:00:59,220 --> 00:01:03,420 If everyone paid the same amount, the guy who ordered the caviar might be happy. 20 00:01:03,420 --> 00:01:05,900 But what about the guy who ordered the hot dog? 21 00:01:05,900 --> 00:01:07,620 Enter assessors. 22 00:01:07,620 --> 00:01:09,580 The food is your property. 23 00:01:09,580 --> 00:01:13,420 Just like these meals, some people's property is worth more than others. 24 00:01:13,420 --> 00:01:17,540 And it's the assessor's job to determine how much each property is worth. 25 00:01:17,540 --> 00:01:18,540 That's it. 26 00:01:18,740 --> 00:01:23,060 So in the same way the value of these menu items would need to be determined, an assessor 27 00:01:23,060 --> 00:01:28,180 places value on properties to ensure fairness and equity. 28 00:01:28,180 --> 00:01:32,500 After the assessor determines the value of each property, local governing bodies will 29 00:01:32,500 --> 00:01:35,260 set their budgets for the coming year. 30 00:01:35,260 --> 00:01:39,300 They set the tax rate in order to produce the dollars needed for their budgets. 31 00:01:39,300 --> 00:01:43,340 The value of a property does not affect the amount of property tax needed. 32 00:01:43,340 --> 00:01:47,780 The sum total of all those budgets is a set number that has to be divided up among all 33 00:01:47,780 --> 00:01:49,460 the property owners. 34 00:01:49,460 --> 00:01:54,380 So even if everyone's value was cut in half by the assessors, the tax rate will be raised 35 00:01:54,380 --> 00:01:57,460 in order to generate the same amount of tax revenue. 36 00:01:57,460 --> 00:02:02,340 The assessors don't determine the taxes you pay, they just determine the values of properties 37 00:02:02,340 --> 00:02:06,080 to keep everything as fair and equitable as possible. 38 00:02:06,080 --> 00:02:10,100 When you notice a change in your property's assessed value, that change is the result 39 00:02:10,100 --> 00:02:13,660 of a never-ending quest for fairness and accuracy. 40 00:02:13,660 --> 00:02:17,340 Assessors are graded on their performance, so there is a detailed system to get accurate 41 00:02:17,340 --> 00:02:18,340 valuations. 42 00:02:18,340 --> 00:02:23,540 First, the assessor looks at similar properties that have sold, their sale prices, and the 43 00:02:23,540 --> 00:02:25,820 terms and conditions of each sale. 44 00:02:25,820 --> 00:02:29,700 That's the reason your home won't just be compared to the place next door. 45 00:02:29,700 --> 00:02:34,060 Studying things like square footage, age, and location helps assessors determine how 46 00:02:34,060 --> 00:02:37,280 comparable another property is to yours. 47 00:02:37,280 --> 00:02:41,540 Even seemingly small details, like an extra bathroom or finished basement, can result 48 00:02:41,540 --> 00:02:46,720 in significant differences in value in two otherwise identical homes. 49 00:02:46,720 --> 00:02:50,420 Assessors maintain a thorough database of real estate information to make this process 50 00:02:50,420 --> 00:02:52,660 as precise as possible. 51 00:02:52,660 --> 00:02:56,580 Changes in value are typically the result of local real estate market sales or major 52 00:02:56,580 --> 00:02:58,580 changes to a property. 53 00:02:58,580 --> 00:03:03,300 Remodel a kitchen or finish your basement, and your property's value could increase. 54 00:03:03,300 --> 00:03:07,320 When you see your home's assessed value, you can rest assured that the number has not been 55 00:03:07,320 --> 00:03:12,460 drawn out of a hat nor generated with anything but equity and accuracy in mind. 56 00:03:12,460 --> 00:03:16,720 Long story short, assessors are here to help, not trying to hinder. 57 00:03:16,720 --> 00:03:20,960 Their focus is accurate values, not tax collection. 58 00:03:20,960 --> 00:03:26,060 The only things an assessor chases are fairness and equity, and they take great pride in it.