Friday, March 2, 2012

Property Tax Assessments As Fantasy Valuation: "The Hook" Confirms Charlottesville Doesn't Include Short Sales and Foreclosures in Its Calculations

How's the Charlottesville real estate market?  As we just noted, prices here are declining much more than in Cities tracked by the most widely-watched national index.  Many owners are drowning in negative equity or effective negative equityBut you wouldn't know it from the tax assessments.

We've posted about why assessments mean so little to buyers (see also this) and have opined about it for the C-VILLE.   How the City of Charlottesville assessor counts a sale as "arm's length transaction" is all "subjective." 

As The Hook exposes,  a sale will be considered valid for tax assessment computation only if it benefits the City of Charlottesville coffers.   Unfortunately for current owners stuck with absurd valuations, the appeals deadline just passed.

The Shilling Show has examples of properties and their ridiculous valuations: Fleeced By the Barbour: Charlottesville's Annual Real Estate Taxation Swindle.

In the past, Albemarle County marked a foreclosures as "Invalid Sale" under "Type of Sale" on their public property records.  "Type of Sale" has disappeared off the website.  Is Albemarle County fudging just like Charlottesville?

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