Win Your Next Texas Property Tax Appeal: 10 Basic Steps

First: learn the facts

You are more likely to be successful with your property tax appeal if you find factual errors in your property tax record, also known as an “appraisal card.” Errors in real estate appraisals, such as errors about the age of improvements or incorrect measurements of square footage, are not uncommon.

After filing a Notice of Protest, the appraisal district will schedule an informal conference with one of its staff appraisers. Bring any proof of your case in the form of photos or other documentation that supports your claims to the appointment. The appraisal district will need to keep your evidence for their records, so remember to bring additional copies.

Understand how your home has been appraised

Harris County Appraisal District [HCAD] has over a million single-family residential properties to appraise. Montgomery Central Appraisal District [MCAD] It is responsible for valuing some 250,000 homes. The overwhelming reality is that there are not enough well-trained staff appraisers for everyone.

In the real world, appraisal district employees sometimes can’t inspect much beyond new construction or additions. Even when property is inspected, the examination can be little more than a step from the car. It is now more common for appraisal districts to rely on aerial pictometry for various aspects of property inspection. The level of technology resources now available to most appraisal districts is impressive.

Given the overwhelming number of properties that must be revalued, these appraisal districts rely on mass computer appraisal models. The mass appraisal models that counties use are inevitably flawed, although some are better than others. Your quest will be to determine the ways and the degree to which your property and neighborhood do not fully fit the model.

You can ask a real estate agent to help you find some comparable homes and their actual sales prices. Most good agents don’t mind helping you, because you may work with them later. Remember that you want to be able to show that your home is in less than comparable sales condition. Try to compare your home to the best in your neighborhood. If you can find information on better homes that sold below their appraised value in the past year, you may have reason for a downgrade.

Research the value of your neighbors’ houses

The easiest way for most homeowners to develop appeal is to use the market value sales comparison approach on their appeal; however, sales are not always favorable to you. Another angle you can try is to determine if your home has been priced “evenly and equally” to other similar properties in the same neighborhood.

Check to see if the appraised value of your home in the appraised district is equal to or less than the median tax appraised value of other homes in your neighborhood. Texas appraisal districts will have this information available online through their websites.

Get the evidence from the Appraisal District

Along with your “Notice of Protest,” submit a written request for all evidence that the appraisal district used to appraise your home and intends to present at an Appraisal Review Board. [ARB] listening. It is also known as House Bill 201. [HB 201] package. Review this information to determine how the appraisal district determined the value of your home. This may uncover the shortcomings of the appraisal district’s case.

Don’t give up hope – you have little chance of getting it right

If you are unable to resolve your case individually with a staff appraiser in an informal conference, the next level of administrative appeal is a formal Appraisal Review Board. [ARB] listening. Montgomery Central Appraisal District [MCAD] you will have your formal hearing the same day. They immediately escort him down the hall and show him to the waiting room to present his case. Harris County Appraisal District [HCAD] reschedule you to return to your office another day for a formal hearing. It will almost always wait two weeks.

The ARB hearing will be like a lower courtroom in which you present your case. An experienced senior appraiser will represent the case on behalf of the appraisal district. A panel of at least three members of the appraisal review board, supposedly impartial, will hear the case and make a final decision. Important Warning: The ARB has the authority to INCREASE the value of your property, so consider this risk. Also, be sure to bring extra copies of all your evidence (five in total) to the appraisal district and the ARB panel.

If your formal hearing before the ARB is not successful, you may still have two additional options available. For residential properties valued below $ 1 million, you can file a binding request for arbitration through the office of the Texas Comptroller of Public Accounts. There are fees of $ 250 or $ 500, depending on the level of participation in your case. The other option is to file a lawsuit in district court against the appraisal district. Since both procedures are time consuming and expensive, you will need to decide whether they are practical for you.

Get started: 10 action steps

1. Get a copy of your property tax record or “appraisal card.” Texas appraisal districts will have this information online through their websites. If you can’t find it, call the appraisal district office for help.

2. Check the appraisal record for errors in your favor.

3. Find out if you are eligible for a special exemption and apply for it. Some examples are Texas General Housing Exemptions, 65+, Disabled, or Veterans.

4. File a “Notice of Protest” before the legal deadline. Typically, this is May 31 or within 30 days after your “Notice of Appraised Value” is mailed.

5. Study the evidence from the appraisal district, package HB 201.

6. Try to get help from a real estate agent to identify details about comparable good sales (… and remember who helped you every time you have a paying real estate transaction).

7. Take photos of your home and the other properties you are using to compare. If you don’t have a good camera, borrow one; or ask a friend for help.

8. Make detailed written notes on exactly what you think the correct value should be and the reasons for the reduction. Prepare your presentation and be able to show the proof that supports your claim. This should consist of objective evidence, such as dated photos, recent sales documentation, and appraised values ​​from neighbors.

9. Be courteous and respectful to other appraisal district staff and ARB members. Never forget that they are also human and have feelings, just like you. Remember the time-tested expression: “You can fish more with honey than with vinegar.”

10. If you think it is in your best interest, appeal your case to a formal ARB hearing. However, this can be a roll of the dice. Depending on the composition of the panel and your mood on your particular hearing day, your ordeal could be more favorable or it could get worse.

If this all sounds like a lot of effort, there is another way to help ensure you get the best possible result. You can have a property tax advisor prepare and present your case, providing professional representation at appraisal district hearings. You can get the benefits of this service on a contingent basis, so it won’t cost you anything unless you actually save money, which you would have paid in taxes.

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