Don’t count on your property taxes dropping as a result of reduced market values. 2009 is a reassessment year for the City of Chicago. The Sun Times recently reported that homeowners in portions of Rogers Park received notice that the assessed value of their property has decreased up to 6.1%. While that news may seem very positive on the surface, assessed value is not the only factor used in determining property taxes. Two other factors, including the tax rate and equalization factor, along with a multitude of government agencies, all have an impact on your final tax bill.
Reduced Market Value Doesn’t Mean Reduced Property Taxes
In addition, assessed value and market value have very little in common beyond the property address. While market values have decreased as much as 20% in some areas since the last assessment in 2006, however don’t expect your assessed value to decrease accordingly. County sources state that Chicago has not seen a decrease in assessed value in recent history, and that the decreased assessed values are difficult to award if the market value is expected to rebound before the next assessment year in 2012.
So, the bottom line is this – pay your taxes, contest them when possible, and use every city service available to you to the fullest extent!Email This Post To a Friend.