+12% in 77096/Westbury
Can't complain, but will protest
Can't complain, but will protest
Sea Speed said:
So I can change my HE to my new home i close on on 01 APR?
Mr. McGibblets said:
Just an FYI- the law changed in regards to Homestead Exemptions for 2022 and moving forward. You no longer have to be in your home prior to 1/1/2022 to file. If you purchase a home in that calendar year, you can apply for the HE. It is now the same as the over-65.
Just a heads up bc someone stated incorrect info earlier
Quote:
Driven by a red-hot real estate market and rising sales prices of single-family homes, residential property values in Harris County are expected to rise by around 15%-30% when notices are sent out this spring, according to a March 17 news release from the Harris County Appraisal District.
For more than 95% of residential properties, the average increase will be higher than 20%, the county's Chief Appraiser Roland Altinger said. Homes in all price ranges saw value increases of 21% overall this year, including new construction.
"Value increases this year have been unprecedented," Altinger said in a statement. "In my almost 40 years in the real estate business, I have never, ever seen such large increases in market values."
HCAD reported the increases as the district prepares its annual mailing of value notices to property owners. Every year, the district sets out to determine the market value of every property in the county as of Jan. 1 using a process set by the Texas State Constitution. In 2021, residential properties in Harris County rose by around 8%-10%, according to HCAD.
Market valuethe amount a property is expected to sell foris largely informed by home sale prices as well as on-site inspections. The median sales price of single-family homes in Harris County was $300,000 in 2021, a 15.4% increase over 2020, when the median price was $260,000, according to the Houston Association of Realtors.
Meanwhile, population growth, low interest rates, supply chain issues and the rise in the number of people who work remotely have all increased demand for homes, leading to a more limited supply, according to HCAD.
After a home's market value is determined, exemptions are factored in as a way to lower property taxes. Properties with homestead exemptions are limited to a 10% increase, Altinger said.
In a statement, Altinger encouraged property owners to check online at HCAD's website to see what exemptions they are entitled to. More information can be found here.
Instead of determining the value of each property at the individual level, HCAD uses a process called mass appraisal to look at comparable properties in an area to determine a base level of market value. If property owners feel their properties have been assessed incorrectly, they can also protest them to have them lowered. Some experts encourage all property owners to protest their values as a general rule.
Commercial property values are also on the rise, increasing 18% overall, according to HCAD. Apartment buildings saw the highest increase among commercial property types, with value increases averaging 24% across the sector.
FYI
Sincerely,
Century Property Consultants
PH:+1(713)270-5953
FAX: +1(713)270-6326
www.cprotax.com
cgh1999 said:
33% increase in market / 10% in appraised. Yay
Regarding the income tax vs property tax discussion- if you live in a house below your means you will come out ahead. Based on a 6% income tax, I could buy 2-3 of my current houses and still be ahead. I would like a bigger/nicer house, but why?
htxag09 said:cgh1999 said:
33% increase in market / 10% in appraised. Yay
Regarding the income tax vs property tax discussion- if you live in a house below your means you will come out ahead. Based on a 6% income tax, I could buy 2-3 of my current houses and still be ahead. I would like a bigger/nicer house, but why?
Well 6% is on the high end. I'd agree with what we have vs that. Isn't New York the highest with under 5%?
As far as living below your means, isn't that what everyone is talking about in terms of having no control over? I bought my house 10 years ago and the appraised value has gone up almost 2x. Can almost promise it'll pass that threshold next year. Most of that increase was in the past two years. Now it hasn't been a huge issue because we were early in our careers and our salaries were increasing just as much. But highly doubt that's the case the next 10-20 years.
So, if the current trends continue, my house appraised value could be at 4x the purchase price in 10 years. My salary probably won't be at 4x. Then add in the fact that every single bond gets approved and not hard to see peoples property tax bill doubling at none of their own doing.
Mr. McGibblets said:
The hell it is relevant. Prior to the law change, you were given no HE. Now that you can apply for it the same year, you get a discounted tax bill a year earlier and you get to start your base year 10% increase a year earlier.
This was you below. Your info was wrong. What I stated is the new law which benefits new homeowners.
Cromagnum said:
Yep. Capping the year over year increase to 10% is the key here. People that bought homes in 2021 are going to get hammered really soon.
htxag09 said:
I agree. And that's absolutely a factor that happens in general.
I think what jades me the most is that it's essentially for life. Kind of depressing that in 5 years, when i "own" my home, I'll still be paying close to a thousand dollars a month in property taxes.
Then the fact that it doesn't matter if you're unemployed, if you retire, etc. That property tax bill will come due. So if you plan long term, even if a state income tax will be $2k more a year, 5 years of that increase would be erased in 1 year of retirement.
cgh1999 said:htxag09 said:
I agree. And that's absolutely a factor that happens in general.
I think what jades me the most is that it's essentially for life. Kind of depressing that in 5 years, when i "own" my home, I'll still be paying close to a thousand dollars a month in property taxes.
Then the fact that it doesn't matter if you're unemployed, if you retire, etc. That property tax bill will come due. So if you plan long term, even if a state income tax will be $2k more a year, 5 years of that increase would be erased in 1 year of retirement.
It almost forces you to downsize in retirement.
TXTransplant said:Cromagnum said:
Yep. Capping the year over year increase to 10% is the key here. People that bought homes in 2021 are going to get hammered really soon.
Exactly. I don't even really give a flip about the "discount" on my tax bill due to the $20k exemption (or whatever it is) because the biggest taxing entity I pay (the ISD) doesn't even honor it. They tax us on the full assessed value, HE or not. The reduction in my tax bill is minimal.
But the 10% cap is huge.
SnowboardAg said:
Thanks for the response - think I'm going to battle this more than the $$. That seems to be the long play here.
TXTransplant said:cgh1999 said:htxag09 said:
I agree. And that's absolutely a factor that happens in general.
I think what jades me the most is that it's essentially for life. Kind of depressing that in 5 years, when i "own" my home, I'll still be paying close to a thousand dollars a month in property taxes.
Then the fact that it doesn't matter if you're unemployed, if you retire, etc. That property tax bill will come due. So if you plan long term, even if a state income tax will be $2k more a year, 5 years of that increase would be erased in 1 year of retirement.
It almost forces you to downsize in retirement.
Not necessarily. Your assessed value is frozen when you turn 65, right (assuming you turn in the paperwork)?
So, all those people who had their taxes frozen in the last 5-ish years are sitting pretty right now, regardless of what size house they live in. Especially if they protested their value regularly before it was frozen.
But, if they sell now and downsize, the new property would be reassessed. The way prices are right now, I think a retiree could downsize and end up paying MORE in property taxes. A lot of that depends on how long they've had the over 65 exemption, though.
This doesn't bode well for the housing market, though, because it partially depends on people downsizing to create inventory.
Cromagnum said:TXTransplant said:Cromagnum said:
Yep. Capping the year over year increase to 10% is the key here. People that bought homes in 2021 are going to get hammered really soon.
Exactly. I don't even really give a flip about the "discount" on my tax bill due to the $20k exemption (or whatever it is) because the biggest taxing entity I pay (the ISD) doesn't even honor it. They tax us on the full assessed value, HE or not. The reduction in my tax bill is minimal.
But the 10% cap is huge.
The ISD doesn't honor the reduction in assessed value? That's a new one to me.
Diggity said:
Where are these ITL townhomes bought for $250K and worth around twice that now?