It's that time of year!  I am receiving all my property tax assessments and they are going up a lot!  I am getting a double whammy as most of my properties were purchased last year and I am now losing the existing homestead exemptions.  Maybe I should remove the exemption when plugging the taxes in my property analysis worksheet.  Ugh.

Anyway...curious if any of you protest your taxes.  Do I stand a chance?  I've been in front of the appraisal board before and it's tough to come out without licking some wounds.  Would appraisals or refi's be a factor?  Or could I show how I set the market value by my original purchase (which would be much lower than current market value)?  Do you hire anyone to help you protest or DIY?

This is why I invest in CA!  Sorry I cannot be of much help!

Tony, I hear your pain. It's good one to have if you plan to sell real quick not for investors like me and you who like to hold up. I got my rental prop in NW area appraised almost 15% last year which is good news but who is going to pay the tax??? I always protested them and reduced the value almost every time except once. 

I protest myself with all data i can provide with the recent sales and property condition between comps etc., You gotta to be prepared and bombard them with information. There are basic rules, don't use foreclose comps, dont include land value etc.,  if you know it and work your facts, it will come out your favor. All the best on protesting.  I never used company but there are only 1-2 companies out there doing it.  Some clients have asked about me protesting for them and thinking about it. 

Thanks @Vijaianand Thirnageswaram.  I've protested my homestead before...I'm 1 for 2...once I got it reduced...and once I left beaten and bruised.  You do have to do your homework.

Usually, there are NO exemptions on rental properties, so imo it's a mistake to include that in an evaluation for purchase.

That's true but I am guessing he might have first lived in it and changed to rental. In that case, you can still have it until you find another one to live. I guess you should be able to claim one exemption in each county because they dont' talk each other :-)

All I am saying is that when you buy a property and look up the taxes on an owner occupied home you need to realize that you lose the exemption (at least the Homestead exemption) the next year. I think we all agree this needs to be considered when estimating taxes.

Maybe you could look up HCAD of other investor properties around yours of their taxes as ammo when protesting?

Thanks @Account Closed  .  I don't know that it matters too much whether they are investor-owned properties....but will definitely be required to evaluate properties in the area.

If anyone has a firm they have used to help protest please pass along.  I remember using one years ago but can't remember their name.  I might be able to try just going through iSettle (HCAD's online system) but in my experience, this has usually resulted in having to go in front of the board anyway.  If anyone has tips for reducing their assessment without having to go in front of the board that would be helpful.  It's just a huge time suck.

Hi @Vijaianand Thirnageswaram. If I am going to protest my 6 properties would you recommend I try using the iSettle online system or go straight to one of the property tax consultants? I don't think I want to do this on my own as I have not had too much success. The only time I was successful was when meeting with an appraiser and not going in front of the appraisal board. But I can't remember what triggers the need for a hearing.

@Tony Castronovo Good question. I would recommend you to do the analysis first both on the Market sales and Appraisal difference with home near by. Find out the price you want on each property and do the iSettle first. if they accept it your offer good. If it it will automatically go to next level. I remember one time it went to appraiser guy and other time it went to ARB directly. Not sure what it's the trigger. Both ways you are going to take your analysis and fight it out. Do full pledge analysis, take pics of your properties compared to comps. Also take all the repairs needed in your home, difference in roof, a/c life extra. If you get to more deep, they will surely give it to you.

Tony,

I was using taxprotest.me - cost only $20 (or less if you are protesting multiple properties) and super easy to use...

Not always you will get the full amount that you ask for, but I would take anything that county would give me...

Thanks @Vijaianand Thirnageswaram and @Account Closed .  I skimmed the taxprotest.me website and it looks interesting.  Will evaluate further.  I won't be able to take pictures of my properties (unless I use the "before" photos when I purchased).  I always rehab them pretty nicely.  But I can do some analysis and see where I stand.

Tony,

If you have only nice looking photos don't send them to the appraisal district.

Usually, just comps will be enough, or if you purchased the property in the last 12 month you can protest based on your purchase price and send the before rehab pictures with the protest forms...

Yes, I purchased most of them in 2016. 🙂