Property
Taxes and Appraisals
TCAD appraisal hearings
HOT: We're preparing our positions on property
taxes by following news and consumer reactions and talking with individual homeowners. So far here are top
issues we've identified:
- THE PROBLEM: The state is complicit in a statewide land grab that forces homeowners out of
their homes. They do this by underfunding schools and forcing communities to make up the difference with
higher property taxes. Developers then are allowed to target older homes on high-value
land or homeowners on fixed incomes and buy up (and develop) adjacent land. This increases
the appraised property values and taxes due, often to the point that homeowners can't
pay. This seems like an intentional land grab and not just unintended consequences from
otherwise good policies.
- Travis County
alone received over 90,000 appraisal protests and requests for appeal, but the problem extends
statewide.
- The ideal solution is to address the root cause of
inadequately funding school programs at the state level. A state income tax or consumption (sales) tax
would put more of the burden on people who can afford it, and we support that effort. But we recognize the
political difficulty of such reforms and also seek other ways to address the
problem.
- One alternative is to
only allow appraisals to consider comparable RESIDENTIAL properties and not commercial
properties. While that would address commercial development, it doesn't stop developers
from buying land and building McMansions.
- Another alternative is to put an annual cap on the
percentage increase as long as the property owner remains the same. The appraisal could be readjusted if
the property is sold, inherited or otherwise changes hands. This would address concerns of the
elderly and low income homeowners and keep them from losing their homes because of tax
increases.
- See VOTERS: Proposed Constitional Amendments (recently
posted)
Tom Hayden, Austin (Statesman Letter to the Editor,
10/12/09)
There is little evidence that a property owner can bring to a hearing that
the Travis Central Appraisal District will accept. One item allowed is a "cost to cure" any
problems with the property. I presented a written bid by a licensed contractor, which was not accepted.
The burden of proof is on TCAD; however, what other properties have sold for is not proof that mine will sell for
TCAD's market value.
The appraisal districts don't answer to the public. The current method of
funding schools based on property taxes was declared unconstitutional years ago. Why is it still in
place?
The executive, legislative and judicial branches of our government seem unwilling or unable to resolve school
funding or property taxes. What we have in place now amounts to a 25 percent income tax for me.
Do our elected officials care about high property taxes and autocratic appraisal
districts?
Don White, Spicewood (Statesman Letter to the Editor, 10/12/09)
Re: Sept. 29 letter "Are real estate appraisals fair?"
The reader's experience during an appeal with the Travis Central Appraisal District resembles ours. Officials
reduced the original appraisal, but it is still 15 percent over actual sales prices. No good explanation was
provided for how the land value increased 60 percent in one year.
They stated that they start with a perceived value and apply various factors to arrive at the appraisal value. They
did not consider actual sales, as mandated by law. This process is a joke and a waste of time and money. The
Legislature needs to provide an effective process for appealing constantly rising appraisal values.
Also, I was rudely interrupted while presenting my case to be informed that they had "lots of work to
do."
Linda Perilli, Austin (Statesman Letter to the Editor, 10/12/09)
I moved here a year ago, and my taxes have gone up considerably since last year. A couple of my friends said they
heard of other newcomers who had the same thing happen, but I figured that must be a coincidence.
I considered challenging the appraisal, but friends and neighbors told me it would be futile. And according to the
letter writer, who said he was unfairly taxed and had his facts ignored, I see they were right.
Shame on the Travis Central Appraisal District, its appraisers and the citizen panel. There has to be something
behind why the blanket settlements had to be paid because of the unmanageable volume of appraisal challenges.
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