Cities mail property tax assessment out in February to notify you what they have assessed your property at for the year, which is what your property tax bill will be based on.
To determine what the city is stating your home is worth, multiply the SEV on your assessment by 2.
For instance, if your SEV is $50,000 they have determined your home is worth $100,000.
If you think they are over valuing your home, it might be time to appeal. In March, cities will have appeal boards that will review your case. You will need to go in with justification. If you have had an appraisal in the last year, take that. And it wouldn’t hurt to have a Comparative Market Analysis (CMA) from a local realtor.
We can provide you with one free of charge, simply fill out the form below.
You may receive an assessment that has your taxable value & SEV as a different number. This happens in the cases of long time property owners and is best explained on the City of Romulus’s website;
“If you’ve owned your property for a significant amount of time, more than likely your State Equalized Value (SEV) far exceeds you Taxable Value. If this is the case, a decrease in valuation, caused by a cooling real estate market, will be reflected in the SEV. The Taxable Value is required by the Michigan Constitution to increase each year by the rate of inflation or 5%, whichever is lower. In the case of a longtime property owner, the SEV could decrease, while the Taxable Value will increase. Proposal A allowed many residents to pay property taxes on less than half of their market value by “capping” the Taxable Value, while still allowing the assessor to determine the market value by adjusting the SEV. This has caused, for many property owners, a great disparity between the SEV figure and the Taxable Value figure. The assessor can reduce the SEV to reflect the change in property value, but if the Taxable Value is still well below the SEV, it will keep increasing until the two figures meet. Taxes are based on Taxable Value; therefore you will end yp with a tax increase.”