Top Reasons to Protest Your Texas Property Taxes

Below is a guest post from one of the brokerage’s partners, Gill, Denson & Company, the property-tax experts.

In this article, we'll delve into the top five reasons your property may be overvalued for tax appraisal purposes, causing you to pay more than your fair share in property taxes. In addition, we will discuss what you can do to lower your tax expenses.

Property tax assessments are often a hot topic this time of year for property owners. Notices of appraised values are showing up in mailboxes across the state through April, causing confusion and frustration for many property owners who are concerned about how their tax appraisal is calculated. Property taxes often rank as one of their largest expenses, making it an important topic to understand.

1. Mass Appraisal Methods:
Appraisal districts frequently employ mass appraisal methods to streamline the property assessment process. However, these methodologies lack the nuance required for the precise valuation of individual properties. Relying on generalized approaches and statistical models can result in inaccuracies, leading to overvaluation for many properties.

2. Inaccurate or Outdated Information:
Resource constraints often limit appraisal districts capacity for thorough property inspections. Consequently, appraisal districts rely on outdated or incomplete data during the valuation process. Inadequate property inspections may overlook critical factors influencing property value, contributing to instances of overvaluation.

3. Real Estate Market Fluctuations:
Real estate markets, neighborhood dynamics, and economic conditions significantly influence property values. However, appraisal districts may struggle to consistently capture these fluctuations accurately. Misalignment with market realities can lead to property assessments that deviate from their true market worth, contributing to overvaluation.

4. Limited Comparable Sales Data:
Appraisal districts rely on comparable sales data as a cornerstone for property valuation. Yet, sourcing comparable properties can be challenging in locales with limited sales activity or distinctive property attributes. In addition, Texas in a non-disclosure state which means property owners do not need to report their sales price. Due to these factors, appraisal districts rely on inaccurate or outdated comparable sales data, causing many properties to be overvalued.

5. Lack of Property Specific Data:
Comprehensive and accurate property information is essential for precise valuation. However, appraisal districts may encounter gaps in information regarding property enhancements, alterations, or damages. Without comprehensive insights, appraisal districts risk erroneous property valuations, leading to instances of overvaluation.

Protest Your Appraisal to Reduce Your Property Tax Bill!
In Texas, every property owner has the right to challenge their property tax assessment. While it's possible to pursue a protest on your own, it's a complex undertaking that involves gathering evidence and advocating for a reduction before the Appraisal Review Board (ARB). To increase your odds of a reduction, we recommend engaging a property tax protest firm equipped with advanced appraisal software for evidence collection and experienced professionals prepared to represent you at hearings.

Through our partnership with Gill, Denson & Company, we're pleased to extend their services at a discounted contingency rate, amounting to 25% of the property tax savings achieved. Simply utilize the code SOUTHHAUS when registering on their website. Moreover, their fee structure is contingent upon success; they only charge if they effectively lower your tax bill. If no savings are attained, no payment is required.