Minutes 04-20-2021 Virtual Business Meeting

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42 Commissioner Hamilton asked if the denominator was an average or the total value of all sales. Nancy Freeman said yes, it is an average. Chad Phillips said it is the average of all of those, unless it is being done for just one property. Commissioner Hamilton asked if the appraised average is only on the 31 properties. Chad Phillips said it is only on the 31 properties. He said it is a ratio of the sales price to the appraised value of those 31 properties. Commissioner Hamilton said the concern in Northside is if the approach can build bias in the system. She said it results in values that are higher than residents can afford to pay, and may not reflect the value of the home. She said high priced homes may raise the average. She said a few high price homes can raise the values for everybody, and less expensive homes can be artificially high. She said it is also only using the value of sold homes, while most homes are not sold, which adds bias to the approach. Nancy Freeman said this is a mass appraisal, and individual appeals give the Tax Department the ability to make adjustments to properties that do not fit the mold. She said staff is here to help, and this is not an us against them. She said some people get an appraisal just to get that information to the Tax Department, but this is not feasible for everyone, as it costs money. She said her department could have a workshop in the area with appraisers on hand. Commissioner Hamilton asked if there is a way to designate neighborhoods by type of homes, or square footage. Nancy Freeman said like properties are grouped together, and current delineations were set up in 2017. She said adjustments can be made, if there is a need. Commissioner Dorosin said he would like to have a more detailed response to the examples given by the Northside neighborhood. He said the presentation showed the overall average for the County was 12.6 or 20%, but the increases in this neighborhood were much higher. He said if the work is showing huge disparities and increases, then more information is needed on how the formula is applied. He said if a home is being sold to an investor, it seems like that is a commercial use that is generating revenue. He said this is not a fair comparison to a neighboring single family home. He said one could make a case that those are not qualified sales. He said there is troubling data with the percentages and the examples of the differences between the appraised value and the amounts the properties sold for. He said the Greenbridge unit sold for $1.2 million, but is valued at $850,000. He said a more detailed analysis is needed. Commissioner Dorosin asked if one has the right to appeal every year. He said suggesting one should get one's own appraisal is an expensive proposition. Nancy Freeman said property owners have the right to appeal each year. Commissioner Dorosin said if people do not appeal this year, they are obligated to pay on this value in the future, even if it is determined that the appraisal was wrong. Nancy Freeman said yes. Commissioner Dorosin said this information needs to be made very clear to the community. He said the Board needs more detailed information, as the percentage increases seems like something is wrong. Nancy Freeman said the tenant-occupied property is valued as residential. She said possible income is not considered because staff does not have that information, and that type of occupation can change back to homeowner occupied. Commissioner Fowler asked if one does one's own appraisal, can one use properties that are more comparable to one's home. Nancy Freeman said any information that a homeowner can provide will be taken into consideration. She said one home may have a finished basement, and another not, or one