Home values average 9 percent increase in Warren reval
Meanwhile, multi-family values stayed flat; owners will likely see reduced taxes
Multi-family home owners may end up with lower tax bills while the owner of a typical $250,000 to 300,000 home in Warren could see a tax increase this coming year, after the value of every property in town rose by an average 9 percent in the town’s recently completed full revaluation.
More than 4,000 notices were sent out to property owners this week informing them of the change in their property’s value, after the town completed its first full reval in 10 years with Northeast Revaluation Group LLC.
Over the past year Northeast officials visited every property in town, inspecting each for improvements and changes while using sales and market data from the past two years to assign values to every property in town. On average, the value of all commercial and residential properties in town went up about 9 percent, while multifamily homes stayed generally flat in value.
What does this mean to you?
It’s too early to tell, as Warren Town Council members still have to prepare a municipal budget for the coming year, using the newly updated tax base to set an appropriate tax rate. Using this past year’s tax rate will yield an incorrect bill amount, as it is based on the previous (pre-revaluation) tax base.
Though it is too early to say what will happen, in general, if this year’s budget does not include any spending increases over last year, homeowners whose values went up about 9 percent will see roughly the same tax bill as this year. Those whose values went up more than 9 will likely see a tax increase, and those whose values rose less than 9 percent will see a decrease.
One of the big surprises in this new revaluation is the flat nature of the town’s 619 multifamily parcels. Overall, those parcels saw little or no change in value, which could be seen as a surprise given the low vacancy (high demand) for reasonably priced apartments in Warren.
But Richard Nagle, Northeast’s president, said the trend in Warren mirrors that across the state — multi-families aren’t moving.
“We have seen that in the other communities we’ve been in,” he said. “It’s just a case of the market not being as interested in multifamily homes right now as they are in single families. It’s just one of those quirks of the market. It’s very possible that a year from now there will be movement in two-family homes and regular homes will be flat. It’s hard to say.”
What can you do?
Residents who have questions about how their homes changed in value can attend informal hearings with Northeast officials. Residents interested in setting up a hearing must request one by Friday, March 17. In addition, more information on the revaluation process can be found at www.nereval.com, or by reading this letter mailed out this past week by Warren Tax Assessor Kristopher Leadem.
The takeaway — for now
Again, the Warren Town Council will not set the new tax rate until the late Spring, so taxpayers should not try to estimate their tax bill by using the current tax rate. It will yield an incorrect amount.