Friday, September 11, 2009

Tax Talk...

Property taxes are an icky subject. I realize that.

No one, in their right mind, wants to talk about taxes. Period.

That being said, as St. Louis real estate market values continue to decline... a large number of area home owners are left living in a property that is assessed by the city/county to be worth a WHOLE lot more than it actually is. I see it every day.

EXAMPLE: A property is currently listed at $575,000 with 200 days on the market. It last sold for $675,000 in 2004. Sure enough, you pull up the current taxes... currently assessed by the county at the 2004 purchase price of $675,000. Meaning, the homeowner is currently paying taxes on the value of $675,000 when the home is obviously worth SIGNIFICANTLY less.

So what can you do to remedy the issue?


Though it's not exactly the most SIMPLE process as hello, you are dealing with a government entity here... with a little bit of time and patience, you can drastically reduce the amount of annual taxes that you pay. Click here for St. Louis County's brochure explaining the process and here for the actual appeal forms. St. Louis City residents- click here for more information regarding the city appeal process.

Before you jump through the government hoops, I HIGHLY recommend contacting a Realtor for a current market value, including a CURRENT set of comps within a 1/4 mile radius and over the past 12 months. A super valuable tool in your fight!