Help my property taxes went up 52%

Help my property taxes went up 52%

Specialist · San Antonio, TX · Member since 2012 · 865 posts · 351 votes

I bought a single family home last year in San Antonio Texas for approximately 105k the only thing I did to it was paint it inside and out plus clean the carpets. The tax appraisal for 2015 was $142,430. Now I get a letter in the mail that the tax appraisal  for 2016 is $192,430.00 . I have the property leased and the higher tax value would eat up the cash flow. To raise the tax rate  to above full retail seems like legalized thievery.  I need help knowing how to handle this.

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Investor · Dallas, TX · Member since 2009 · 718 posts · 913 votes
10y

Yeah, @Jay Hinrichs pretty much hits the nail on the head.  I've been landlording for eight years now, and every year I toy with the idea of just liquidating it all and going somewhere with lower taxes. Rents have, fortunately, gone up enough here to at least cover the increases, and we've had a nice run up in appreciation, but neither can go on forever.  I literally cannot fathom how people can call Texas (or at least DFW) a "cash flow" market.  Our cap ex and taxes make it more like a "break even" market.

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  • Specialist · San Antonio, TX · Member since 2012 · 865 posts · 351 votes
    10y

    I got two letters from a group called Texas Tax protest that stated in their letter to me that in 2015, those who filed their own protest , only 22% archived a value reduction and those who where represented , 79% archived a reduction. I tried to call the number and left a number of messages. I finally was able to talk with someone there and they said the would email me something which I never received.

  • Specialist · San Antonio, TX · Member since 2012 · 865 posts · 351 votes
    10y

    The company mentioned above did sent me the form last night after all. I'm still not sure if I need to protest myself our get help. On one hand I care more about this situation than some outside company on the other side a company that does this all the time should what what they are doing.

  • Queens, NY · Member since 2015 · 130 posts · 34 votes
    10y

    @Account Closed a number of people in this thread mentioned it should just take a simple phone call to get the ball rolling. It may not turn out in your favor, but perhaps if you don't get the answer you're looking for you can then employ a company. Plus, it's in their best interest to make it seem like this is a very daunting task, so I wouldn't necessarily be deterred by their statistics. 

  • Real Estate Investor · San Antonio, TX · Member since 2014 · 26 posts · 9 votes
    10y

    It is well worth to dispute it.  I had initially done on my own, which is an experience, but since then I found it much worth while to engage a professional for it.  I use Veltman & Associates, Inc.

  • Specialist · San Antonio, TX · Member since 2012 · 865 posts · 351 votes
    10y

    I ended up filling out the protest myself. My informal hearing is less than a week and my formal hearing is in two weeks if I can't work a deal at the informal hearing. At the informal hearing with the District Representative is there something special I should know or do in order to get a deduction. Theses folks deal with protesters all the time and should be skilled at dominating the meeting. 

  • Investor · Dallas, TX · Member since 2015 · 446 posts · 197 votes
    10y
    Joel S. Just bring in your documentation and be prepared to explain how you reached your conclusion. Be firm but polite. You'll be pleasantly surprised. It's not an adversarial process. They're trained to be receptive.
  • Greg H.Pro Member
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    Broker/Flipper · Austin, TX · Member since 2013 · 4k+ posts · 4k+ votes
    10y

    @Account Closed

    The informal process is just you and the appraiser and more often than not has no direct knowledge of your neighborhood.  I would:

    - Have a copy of your settlement statement.  There is no better comp than your property as it sold it 2015.  Keep stressing that

    -Have "bad" pictures of your house showing any imperfections

    -Accept any deal that you are able to reach at the informal hearing.  Success rates are much lower at the formal and the deal offered earlier might not be avail

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