What is it? – Revaluation – an activity that is performed by the local tax inspector to assess the municipal real estate all his property, in accordance with the market price. The difference between the re-evaluation and re-evaluation is that the appraiser hired by the Company revaluation to perform the work, if it is called a re-evaluation, and not doing the work in-house with the staff of the appraiser's office in the case of revaluation.
What is its purpose? – Common constitutional purpose of the revaluation is a uniform distribution of the property tax to all property owners in the municipality.
What if you do not? – Usually, the delay in updating the estimates, reflecting the changing physical and economic conditions leading to a reduction in assessment. Properties are similar in value once it becomes unequal. Property owners are accustomed to the rising cost of paying a smaller share of the tax burden than would otherwise be the case, and after re-evaluation "suffer" dramatically higher payments on real estate tax. Other property owners "use" tax cuts, because the value of their assets decreased or increased only slightly – the taxpayers pay higher taxes than they should be.
Which causes deterioration of the evaluation? – Each property in the same municipality with the same market value at a given time should pay the same amount of real estate tax. Inadequate or faulty assessment evaluation result from these situations, which cause lack of uniformity assessment:
o changes in area characteristics;
o changes in individual properties;
o fluctuations in the economy (inflation, recession);
o changes in the style and custom (the desirability of architecture, size of the house);
o changes in zoning, which can either enhance or affect the meaning.
What's wrong with that? – The evaluators are asked to find a "price" on which the buyer is ready and willing seller agree to submit the first of October of the property. Well, common sense tells you that there is a range of prices at which the buyer is ready and willing seller can make the sale. Thus, the assessment – this is only a forecast, and even the best forecasts stray from their seats. The need for a reassessment or revaluation increases over time, which blurs the old information, based on which the initial estimates were made. Across the country, in the state of New Jersey, these projections or estimates constitute the tax base, which gathers 2/5 part of all our taxes and local taxes. According to this set of forecasts, the local authorities in New Jersey collected 19.6 billion dollars in 2005.
There a better way? – Yes, first we must realize that we have unreasonable tax structure gives too much weight-based tax on real estate, which in the best case with the & # 39 is a set of forecasts. secondwe must provide accurate regular evaluations by strengthening and improving the evaluation function with a reasonable investment in the computer & # 39; your computer, database management assessments and evaluation of educational resources for appraisers.