Reassessments

It's that time again:  property values have been reassessed.  I've spent some time today asking questions of our county government and the private contractor hired to do the assessments and I'd like to share what I learned.

I'll list my questions and the various answers I received.  I haven't gotten a chance to double check on the accuracy of all the answers, so if anyone out there knows more, please feel free to leave a comment. 

Lord knows I'd never want to be antagonistic -- but we citizens need as much information as we can get about the processes by which our property is assessed and how that translates into higher (or lower?) property taxes.

Because the county website, botetourt.org, states that if you have questions about reassessments, you should contact the office of the Commissioner of the Revenue, I did.  The lady who answered the phone said that they know nothing about the process and that I should contact Wampler-Eanes Appraisal Group.

First, I asked why a private contractor does the assessments, rather than a county employee.

The answer I got from the County Administrator's Office is that the Board of Supervisors gave the County "permission" to hire an outside contractor.  They hired the lowest bidder:  Wampler-Eanes.  They also happened to be the ONLY bidder for the job.

I pointed out that Mr. Wampler's father owns Wampler Realty, which gives the appearance of a conflict of interest, even though the Assessment company is "not associated" with Wampler Realty.  Everyone I mentioned that to seemed totally shocked!

Hey, I'm not suggesting that the Assessors are doing anything wrong -- I'm just saying...

So, Mr. --- called me later in the day and answered some of my other questions.  He told me that he does the assessments for Botetourt County, although his company does the same job in other places, including the State of North Carolina.

I asked why, if, as we all know, the Real Estate Market has tanked, are the assessments in Botetourt County 8,9 %  higher than last year.  I specifically asked why land values have increased so dramatically. 

He said, basically, that there is a demand for nice pieces of land among potential buyers.  He said the land value is based on "comparable sales."  When I asked how many comparable sales there had been recently, he could not come up with a number.  He did mention that they had gone back through sales in 2009, 2008, and 2007 to find comparable sales.

Weren't the land prices, and real estate in general, doing much better in 2007 and 2008?  How could sales be "comparable?"  Well, maybe I'm wrong, I'm hardly an expert on real estate appraisal.

So, he also mentioned that good views and having land in a conservation easement adjoining your land could also add to its value.  That seemed rather subjective to me.  I asked if there is a mathematical formula applied to land value.  The answer was no.  He agreed that the process of valuing land is more of an art than a science.

When I asked why the adjoining property had been valued at $1200.00 an acre while ours was valued at $3600.00 an acre, I was told that it was because the other property contains over 600 acres, while ours is only 120 acres.  Both properties are in agricultural and forest use.

Hmm..., I thought.  I'll really have to mull this over.  Mr. --- explained that it's something like apples:  if you only buy one it costs more than if you buy a bag full.  Hmm...I thought, I'll really have to mull this over some more to see if I can grasp the concept.

So, the fewer acres you own, the more they are worth?  Am I getting this right?

Switching gears slightly, I asked why the hearing times set up for appeals are all during working hours for most people.  I was informed that Wampler-Eanes employees are also working people.

Okay.

Since Wampler-Eanes is a contractor representing Botetourt County and doing a County function, shouldn't they be scheduling these "hearings" at times which are convenient for county residents?  Doesn't scheduling during working hours actually discourage citizens from asserting their right to appeal?

I never really got a good answer to that question, but I was informed that people can also send letters and faxes stating their case for appeal.  By the way, he mentioned that if you do show up to appeal you've got exactly 15 minutes to give your presentation -- so you better do your homework!