Overall rise in market value 25%

by Wanda Combs
Editor

Floyd County land continues to gain in value, and the reassessment notices that arrived in the mail earlier this week told the story. The notices reflected an overall increase in market value of 25 percent, with land assessments rising 50-60 percent or higher.
“In the market studies we’ve seen…land continues to excel well in Floyd,” said Don Thomas, project manager with Wingate & Associates in Roanoke – the firm who does the local reassessment. In these types of assessments, Thomas explained, if you have a vacant tract of land, the chances of it going up higher in assessment value than normal is “pretty great.”
Thomas added, “There’s still a lot of land transactions going on in Floyd County. We’ve seen more land sales per capita (in Floyd County) than in the other areas we’re working….It’s not even close.”
The last reassessment in Floyd County was effective in the 2005 tax year, Thomas said. “That means our company did the work across 2004. That’s when we visited the property. The market we tended to examine was the 2003 market. That’s what we used as our baseline for the 2005 reassessment.
“In 2009, we’re mailing out notices out notices for the 2010 assessment,” he continued. “And so we did the work for this one in 2009, and we based our results predominantly on the 2008 market and what sales were seeing in 2008.”
In both of those scenarios, Thomas said, “we would continue to evaluate sales that continued to happen the year we’re doing the work….While we’ve seen a very flat residential market even in Floyd County over the last year or 2 ½ years, there were some years where there was an appreciation and market growth. Current market values reflect a change in value from 2005 and now.”
This year, there was a change in format for assessment notices, as a reflection of a new law. Due to the format, property owners could instantly make comparisons from the 2005 assessment and the market values for 2010. Thomas reminded, “Folks that are assessed under land use will not see those assessments reflected on these assessments. Our office only deals in market value assessments.”
While the overall increase in market values is 25 percent, Thomas said “the residential home values tend not to go up anywhere near that amount. For instance a house on a small lot might have a typical increase of about 20 percent.”
Land assessments, however are higher, he commented. “A tract that may have averaged $2500 an acre in 2005 could have gone up to $4500 or $5000 or more. That’s just an example, but would not be untypical.”
County residents may question or appeal their cases at a hearing at the county administration building. The hearings (as noted on notices) will begin this week. Dates are: Thursday, Nov. 12, from 9 to 3; Friday, Nov. 13, from 9 to 3; Monday, Nov. 16, from 1 to 7; Wednesday, Nov. 18, from 9 to 3; Thursday, Nov. 19, from 9 to 3; Monday, Nov. 23, from 1 to 7; and Tuesday, Nov. 24, from 9 to 2.
Thomas advised taxpayers to look at the assessed value of property on their notices and determine if that value is relatively close to market value. “Bring any problems of value to our attention along with supporting documentation.” Thomas said documentation could include: a comparable of similar property in the neighborhood, with market value at time of sale; or an appraisal. Thomas noted, “There are several foreclosures in the market, and we don’t consider them a market sale” and thus not a comparable for purposes of the assessor’s hearings.
An appointment is not necessary, but taxpayers are encouraged to call 745-9382 for an appointment to minimize the wait in line. “Thousands of notices have been mailed,” Thomas commented. “Expect our phone lines to be busy. We’ll handle them (calls) as quickly as we can.”
A second avenue of appeal is available to property owners through the Board of Equalization. Those hearing dates will be advertised. Beyond that, property owners can take their case to Circuit Court.
The Board of Supervisors sets the tax levy. Any changes in the levy would be effective in 2010.