From the Assessor’s Desk
2017 REAPPRAISAL OF REAL PROPERTY
GET PREPARED FOR NEW INCREASES IN VALUE
Adams County, like most counties in Colorado and the United States is experiencing exceptional increases in real property values. With property values at a premium, the values could have an elevated effect on property tax.
Every odd year, all property in Adams County is reappraised, as it exists on January 1st of the current year. Time periods used in the reappraisal are required by the Colorado Revised Statute 39-1-10(10.2)(a). The reappraisal cycle for 2017 is January 1, 2015 through June 30, 2016. If insufficient data exists during the 18-month data gathering period, data from each preceding 6-month period (up to a period of 5 years proceeding June 30, 2016) may be utilized. Only changes, such as but not limited to, additions or improvements to a property will cause the value to be different in an intervening year (even years). The three approaches in determining value used in the appraisal process are: Sales Comparison (Market) approach, Cost approach and the Income approach. All residential property is appraised using the Sales Comparison (Market) approach.
To figure your residential property tax you need to follow the 2-step process: take the ACTUAL value of your property from your Notice of Valuation (NOV) and multiply it by 7.96% (.0796), percentage set forth by the Gallagher Amendment of 1982 to determine your ASSESSED value. Your ASSESSED value is then multiplied by your District Mill Levy. For example, if your mill levy is 125.00 you will multiply your assessed value by 0.125 to determine the property tax due.
The Assessor’s office does not determine your mill levy; your taxing districts do.
In 1982, when The Gallagher Amendment was first passed, the assessment rate on residential properties was 21%, and bottomed out at 7.96% in 2003. However, based on the findings of the annual Residential Assessment Rate Study, the 2017-2018 residential target percentage and the residential assessment rate is going to be decreased. It has been projected that the new residential rate will be 6.56% (a 21% decrease of the current rate). However, the final report is due in April, 2017 and we will post it as soon as it is received. The rate for all properties excluding residential will remain at 29% with the exception of Oil and Gas production which are 75% and 87.5%. Remember, taxes are always paid in arrears. For example, your 2017 tax bill will be for 2016 property tax.
Tax bills in 2015 were substantially larger than tax bills in preceding years. With increased market sales in Adams County, we believe that property values for 2017 will far exceed the 2015 values. Projected property increases: Residential 20-30%, Condo’s and Townhomes 30-40%, and Commercial 6-20%. The increase is dependent on different market areas within the County.
As this increase can create a hardship, a helpful suggestion would be to start NOW, and every month save an extra $10 - $20 dollars, or whatever is affordable for you. Put it aside or add it to your escrow payment for the new taxes that will be due in 2018. If you have a mortgage, it will also help with a new higher payment that will result from the increase in taxes. If you are a senior or disabled veteran, please look at the requirements (https://www.adcogov.org/exemptions-senior-citizens-and-disabled-veterans) needed to qualify for these exemptions, as they are a big help.
WE WORK FOR YOU! You property value is based on the appropriate time frame of valid sales, equitability, fairness and honesty. We firmly believe that everyone should be paying only their FAIR share of property tax. Please keep in mind that property tax supports the school districts. Our children are our future. Fire fighters and police officers who put their lives on the line to protect us and our property, and the bulk of their revenue comes from our property taxes.
We hope this information will be informative and helpful in your planning. Our doors are always open to listen to any concerns or questions that you might have.
THANK YOU FOR ALLOWING US THE PRIVILEGE TO SERVE YOU!