Appealing your assessment is taxing process

Some of you aren't going to like this column any more than you like your tax bill.

In fact, I fear some of you will literally go through the roof.

So, before your blood pressure goes high, pretend you are a Cubs fan and write this down: Wait until next year.

Unfortunately, however, there is little most of us can do this year about sometimes dramatic assessment increases that mean equally dramatic jumps in our tax bills.

Unless there is a factual error (say, the wrong square footage or detail on your assessment), you can't appeal this year. Some of you senior citizens do have options, but even those are limited.

The rest of you who have shared your tax woes in recent days are kind of stuck. Even though our grim housing market means housing prices for many of you have dropped dramatically, our assessments surged.

Through the roof

One Dundee Township homeowner saw his assessment go from $110,879 to $153,788. Needless to say, he's appealing -- a good move, neighboring Algonquin Township Assessor Bob Kunz says.

"I would certainly seek to have it reviewed," he said. "It would suggest something is at work besides the equalization factor."

Bob, too, has been fielding plenty of complaints and many of you Algonquin Township residents sent me notes -- but most of them are about 5 percent jumps, the result of a mandated equalization process to equalize the value of homes to 33½ percent or one-third of market value.

A number of you Dundee Township taxpayers have other concerns. Take Wally and Gail O'Brien. The assessment on their home of 20 years just about doubled from $76,961 to $135,954. They appealed to the county with little luck and have now taken it to the state.

Many of their neighbors faced the same dramatic jump but have senior exemptions that have eased the hurt.

Appeal this deal

If you're a senior, let me urge you to call your local assessor and the county treasurer to make sure you're getting the senior freeze and exemption or qualify for a real estate tax deferral. Don't wait.

Those of us who don't qualify for those are limited this year, but we can appeal our assessments next year. And these experts suggest we make sure we do just that.

I'm betting Judy Meyer of Carpentersville will be one taxpayer appealing. She says her assessment went up $40,938. "My home hasn't gone up in value," she said, noting a larger home two blocks away sold for almost $50,000 less last November.

Part of the problem, Dundee Township Assessor Dan McMahon says, is the result of a state requirement to look at every property every fourth year to adjust it to one-third of the market value. On top of that, he says, the county said he hadn't adjusted high enough and added on still more.

Worse, he says, the county already has indicated next year will be 5 percent higher still.

Taxing disconnect

McHenry County Assessor Donna Mayberry also is hearing from plenty of unhappy taxpayers. And she sympathizes but also asks:

Was your assessment as high as the market value was two years ago?

"If they're honest, they'll say no," Donna said. "When we had a booming market like we had, it keeps assessments from fluctuating wildly. Unfortunately, the same thing happens when the market goes down."

The process is designed to limit the ups and downs and to provide equity or equal treatment so all taxpayers pay their fair share to provide services. It usually works well, she said, but the sudden housing value drop after a boom period leads to a disconnect between true market value and assessed value.

Part of the problem is those assessments are based on three prior years. This year's grim numbers won't be factored in until next year so next year's assessments will also likely appear out of whack.

What to do

That said, you do have some options. Talk to your assessor now, file a request for review just in case there is a factual error that can be fixed now.

Even if not, start readying to file an appeal this fall when the next assessment comes out. When you get the postcard from the assessor's office this fall, you have 30 days (from the time those assessments are published in the paper) to appeal.

Know that the values are based on the three years prior to the current tax year, not this year. That means the values are still going to be higher than this year's lower values. You'll want to show sales of comparable homes in your neighborhood, real estate listings (check realestate.com), talk to real estate agents and your assessor.

"The most important thing is equity," the McHenry County assessor said. "If everyone else is below market value, you should be, too. Equity is more important than market value. Everyone should pay a fair share for what they're getting."

I'm pretty sure many of you would say that isn't happening right now.