Prop 13 & Assessment Appeal Services
Most California property owners do not pay taxes on market value. Under Prop 13 property is only valued at market value when it changes ownership and when market value drops below the Prop 13 taxable value.
Prop 13 is the taxable/market value of the property when acquired, plus a (CPI) Consumer Price Index of up to 2% per year, plus the value of any new construction.
How does the market value of your property compare to the Prop 13 taxable value on January 1 each year.
1. If the market value is LOWER than the Prop 13 value, the Assessor will use the lower market value, and your property taxes should go down.
2. If the market value has Dropped, but IS STILL HIGHER than the Prop 13 value, the Assessor is required to use the Prop 13 value.
3. The Prop 13 annual Consumer Price Index (CPI) adjustment was negative for the first time in 2010. Instead of going up 2%, the Prop 13 value went down by -0.237%. The property tax savings should be about $7 for every $250,000 in taxable value.
4. While your basic property tax levy may be reduced, your overall tax bill may increase if you have special assessments, bonds, or Mello-Roos charges.
The Assessor values property each year as of January 1.
The Assessment Appeal Filing period is July 2 through September 15.
The Assessor compares the taxable value to the market value.
The Lower Value is used for property tax calculations each tax year. Sales transactions and market activity through March 31 are considered to help determine market value.
OC-Appraisals can help you thru the Assessment Appeal process.
Having an Independent 3rd party professional appraisal, we are able to professionally and persuasively testify at your Appeal Hearings.
Orange County Assessor Department
625 N. Ross St. Room 142
Santa Ana, Ca 92702