Our Pre-Analysis Ranking Letters
If you are a new client, or considering engaging us to assist in lowering your property taxes, you likely received a letter from us with a pre-analysis of your home, comparing your appraised value to similar homes in your neighborhood, and stating where your home “ranks” compared to similar homes in terms of appraised value per square foot. Call us to discuss your individual ranking and situation, but in general here is how our Ranking Analysis works.
Ranking By Group
We conduct several ranking studies, grouping homes based on the neighborhood (the appraisal district assigns a Neighborhood Code to each neighborhood), or grouping homes based on the school district, or based on the “Area” of the county. As you would expect, where your home “ranks” compared to other homes will vary on the grouping. In a smaller grouping such as a neighborhood your home might be near the top (appraised highest per square foot), but when analyzed in a larger group of homes, its value/square foot might fall lower in the ranking.
Our analysis considers the value of the structure (the home), not considering the value of the land, which often varies greatly and can have an undue or skewing affect on the ranking per square foot of the structure (the home).
What “Appraised above the Median” means to you
We rank all the homes in each group, but we send letters only to the homes whose appraised value per square foot falls in the upper part of the ranking. It is our experience that we have a better chance of achieving a reduction on a home whose value per square foot puts them higher in the ranking than a home that falls lower in the group ranking. However, we protest our client’s homes regardless of where they fall in the ranking, and often achieve reductions.
Pre-Analysis vs. Final Presentation Analysis
Our ranking reports are identified as “pre-analysis” since they work with groupings of homes instead of a single specific home, somewhat similar to the appraisal district’s “mass appraisal” technique.
When we prepare a client’s actual case for presentation to the appraisal district our focus and analysis techniques shift to a single home, and comparing that specific home to individually identified comparable homes, comparing in detail the unique characteristics of each home. We can focus on an individual home where the appraisal district must focus on the mass of homes as a group.
Our experience is that your chance of success in achieving a reduction is based on many factors. Just because you rank high in the ranking comparisons does not by itself indicate you are due a reduction, a deeper level of analysis is required to make that case. And just because you rank low does not mean that additional analysis cannot identify a rationale for a reduction.
Each year stands on its own; the landscape and environment change each year and what happened last year is less important than just protesting. Our recommendation is that every owner should protest their appraised value every year.
Call us for a smart analysis of your home’s appeal ranking at 214-954-4103.