CHAPTER TWO : ASSESSED VALUE Flashcards
WHAT IS AD VALOREN TAX?
“ACCORDING TO VALUE”
__ ___ ___ the amount of tax paid is directly related to the value of the property
ad valoren tax
Who makes decisions about taxes?
a tax assessor
they consider the
availability of land
the features of property
and how much the value of homes within the community as a whole has increased.
Three main ways to assess property
___ ___ ___- the most common method used. Assessor compares the value of the current property to other properties in the immediate area. Good for subdivision
sales comparison approach
Three main ways to assess property
___ __- assessor is looking at the cost to reproduce the home. The current cost of materials and the cost of labor to do the work. Also factors in depreciation.
cost approach
Three main ways to assess property
___ ___- for income producing properties. Includes rental properties, commericial retail spaces, or other buildings.
income approach
____ value- A valuation placed upon a piece of property by a public authority as a basis for levying taxes on the property.
assessed
___ unit- A city, county, town or village with the authority to value real property for purposes of taxation.
assessing
____- A charge against real estate made by a unit of government to cover a proportionate cost of an improvement such as a street or sewer.
assessments
Assessed value is not the same as ___ ____ value.
fair market
The value a home would sell for on the open market is the ___ ___ value. Assessed value is always lower than this. Bc the fair market values can change so much based on real estate conditions.
fair market
Assessed value is a set as a percent of the ___ ___ value
fair market.
An assessment made against a property to pay for a public improvement by which the assessed property is supposed to be especially benefited.
Special Assessment
taxes are not deductible
___ ___ districts- A geographic area in which the market value of real estate is enhanced due to the influence of a public improvement and in which a tax is apportioned to recover the costs of the public improvement.
Special Assessment Districts
