Reassessment is simply the process by which the assessed value of each property is updated to keep that value consistent with what the property is worth on the open market.
It does not necessarily result in increased assessments for all properties. The assessment is an estimation of the sale price a property would bring if sold during the time period in which the assessment was made.
All residential neighborhoods do not appreciate or depreciate at the same rate. Commercial properties differ, as well, in how the market reacts to changing trends. Generally, in a given fiscal year reassessment, there will be assessments that rise, fall or stay the same based on internal and external factors that influence property values.
Methods for Valuing Real Estate
To find the value of any property, the assessor must first know the selling prices of similar properties. This method compares your property to others that have sold. When using the sales comparison approach, the assessor considers and analyzes all available market data to arrive at a fair valuation of your property.
Size, quality, condition, amenities, location, and time of sale are some of the important factors given consideration. The sales comparison approach generally produces the most reliable indicator of the value of the residential property.
This approach estimates the current costs of material and labor needed to replace your home with one of similar quality and function. Depreciation is factored into the valuation of the improvements. The cost approach is a good method for appraising special purpose and unique properties that are usually owner-occupied, seldom sell for the use they were constructed for, and have a limited market base.
This method values the revenue-producing capabilities of a property and reviews market data derived from commercial properties to determine income, expenses, vacancy rates, and capitalization rates. A net operating income is capitalized into a value that includes the land. The income approach is widely used to assess commercial properties which generate income derived from tenant leases.
Your Rights and Responsibilities
If you have questions regarding your assessment, or if your opinion of the value of your property differs from the assessor's, our staff is available to provide you with answers about the appraisal process and your specific assessment. A member of our staff will also explain the procedure for requesting a review of the assessment.
You can help us with our goal of producing fair and equitable assessments by verifying that the information contained in the assessment record for your property is correct.
The phone number for the Assessor's Office is (757) 385-4601. Office hours are from 8 a.m. to 5 p.m., Monday through Friday.