Independent Fiduciary Consultant, Economics and Financial Ethics

One who intends to leave others better off for his having existed.

10/31/12

Robbie Perkins 2012 Property Assessments for Tax Revaluations Fell $828,099 on Real Estate Holdings of $14,703,001


62600 + 20000 + 42900 + 35500 + 35700 - 35100 + 10600 - 344500 + 18000 - 44800 - 570900 - 112900 + 4600 + 18300 - 10000 + 21300 + 5401 + 15200 = -$828,099

2012 Guilford County Tax Rate: 0.7804 per hundred thousand

2012 Guilford County Tax Rate: 0.6325 per hundred thousand

Total 1.4129, or $1,412.90 per hundred thousand of property.

.014129 x 828,099 = $11,700.21 Mayor Robbie Perkins tax cut per year.

$11,700.21 x 8 years = $93601.68 tax savings until the next property revaluation.

269300 + 905800 + 270000 + 1840600 + 444000 + 1574500 + 100600 + 3070400 + 25300 + 1228200 + 1767700 + 242000 + 277800 + 1068900 + 539000 + 689100 + 173100 + 13001 + 203700 = $14,703,001 2012 valuations.

$14,703,001 + $828,099 = 2011 total Perkins valuation was $15,531,100

$828,099 \ $15,531,100 = .053,  meaning Mayor Robbie Perkins property values lost about 5.3%
while the average house price above $250,000 went up.

Residential homes now valued at $250,000+ increased by an average of $9,981.20. 

$9,981.20 / $250,000 = .399, meaning the average value those with homes worth more than $250,000
are paying about 4% more in property taxes than last year.

4 + 5.3 = 9.3, meaning those with homes worth more than $250,000 
are paying an average of 9.3% more than Mayor Perkins paid last year.

Of the 12 North Carolina counties that revalued in 2012, 5 had a NC State "Sales Ratio" as of January 1, 2011 which indicated real estate tax assessments were overvalued. Real estate prices fell in Guilford County during 2011.

Rutherford County lost about 12% more than its 2011 Sales Ratio values on 1/1/12, Cabarrus County lost about 5.5% more, New Hanover County lost about 3% more, and Cherokee County's values fell 26%.

Guilford was the only North Carolina County in 2012 whose real estate values were supposed to fall by the state's metric that didn't.

Residential homes now valued at $250,000+ increased by an average of $9,981.20.

Guilford County's 2012-13 proposed budget, pre-real estate revaluation, included a 9.5 cent tax increase, but instead of falling about or more than 3.72% as the Sales Ratio and home sales  suggested, Guilford County's values rose 1.5% and we got a tax break.

In May, Mecklenburg moved to "independently" audit problems with their real estate revaluation.

Those I spoke with about revaluation software said tax directors/counties interpretations of the reval law vary widely, and that all counties don't incorporate the same information, meaning results may vary. 

Please let me know if any of my math is wrong.

gh

2 comments:

bubba said...

"Robbie Perkins 2012 Property Assessments for Tax Revaluations Fell $828,099 on Real Estate Holdings of $14,703,001"

Imagine that!

Crony Capitalism DOES have its benefits, doesn't it?

I guess it's just our lot in life as lowly plebians to smile and grin in approval of the way Business As Usual Knows Best.

Oh, let's not forget....we're also commanded stand in line contentedly to vote yes on Greensboro palatial Performing Arts shrine.

Fec said...

This is pretty compelling. I assume you're using the list of published properties Perkins provided with the rest of council and posted by Billy recently. A link to that doc would help.