Initial Appraisal
An appraiser in each county sets the value of taxable property each year. An appraiser does not visit each property in which they set the value; instead they rely on a few standard practices.
The appraiser first collects detailed descriptions of each taxable property. Then, it classifies properties according to a variety of factors such as size, use and construction type. Using comparable sales,
income and/or cost data, and the appraiser will apply generally accepted appraisal techniques to derive a value for the property. There are, however, a few inherent problems:
- An estimated 25 to 28 percent of properties are over valued
- The appraiser rarely inspects your specific property
- Typically, all types of depreciation are not taken into account
- Values rise quickly with the market, but do not seem to follow the same trend as the market falls
Legal Rights
Property taxes are local taxes. Local officials value your property, set your tax rates, and collect your taxes. However, state law governs how the process works.
These taxes are important because they help pay for public schools, city streets, county roads, police, fire protection, and many other services.
With that in mind, it is important to note that:
- You have the right to equal and uniform tax appraisals.
- Your property value should be at the same rate of value as that placed on other properties that are similar or comparable to yours.
- Property owners have a right to reasonable notice of increases in appraised property values.
- With some exceptions, all tangible property must be taxed on its January 1 market value.
Preparation
If you feel as though any of your legal rights as a property owner have been infringed upon, you can protest your value. This is where we step in.
We take the following steps to help you get a fair market appraisal value on your home or business by:
- filing the documents necessary to act as an agent on your behalf
- Performing market analysis to determine if we may obtain a more appropriate value on the property
- Compiling the evidence necessary to prove that your property has been overvalued by the Appraisal District
- Representing you at hearings to contest the currently appraised value
Comparative Market Analysis
At Protest, we follow a model that is very similar to the Appraisal District, with one very significant difference: we have your best interests in mind! We use comparable market analysis to find properties and sales
that demonstrate the overvaluation of your property. Combining the knowledge of over 40 years of experience as licensed Property Tax Agents, Property Tax Arbitrators, Realtors, and Real Estate Brokers, we have created one of the most efficient and effective market-analyzing services in the world. In fact,
it's so good, that the Tarrant Appraisal District may have attempted to replicate our algorithm for property comparison.
We strive to get you a lower appraised value by using:
- Industry-leading Comparative Market Analysis tools
- Fair Market Sales across your area that provide a more substantive indication of the value of your property
- State of the art performance standards
Hearings
Once we have compiled all the evidence we need to protest the property value, we may send our nationally recognized Property Tax Agents to represent you at hearings pertaining
to the true valuation of your home or business.
These may include, but are not limited to, the following:
- Informal Hearings
- Appraisal Review Board (ARB) Hearings
- Binding Arbitration Hearings
- Truth-in-Taxation hearings
- Judicial Appeals
Lower vs. Sustained Value
After the hearings have concluded, the Appraiser, or Appraisal Review Board (ARB) will make a decision about the value of the property in question.
The outcome of the hearings will result in one of the following:
- The lowering of the appraised value: obviously this is what we are aiming for, and may allow you to pay lower taxes
- A sustained value: this means the value of the property will stay the same
- A raised appraisal value: although this is possible, it is extremely rare. In our experience, it happens in less than 0.5% of all protested cases, and we hedge against this possibility as much as possible
by applying our expert analysis before arbitration, and warning our clients of any results that indicate that a raised value is possible or probable
Arbitration
In the event that you are not satisfied with the outcome of the ARB hearing, you have the right to arbitration or litigation.
Litigation requires an attorney, and is heard at the district court level. Protest has obtained wide success with litigation at this level
Arbitration does not require an attorney, but does require additional cost.
Before making a decision to pursue either of these legal avenues, the owner should consider the following:
- The realistic value of the tax savings
- Legal costs associated with litigation
- Costs of expert witnesses