_____________________________________
Milford, CT
Est. 1639
_____________________________________
_____________________________________
2006
Revaluation
Questions and
Answers
What is “Revaluation”?
Revaluation is the process of conducting the data and market analysis necessary to equalize the assessments of all properties within a municipality for the purpose of establishing a fair and equitable tax base.
Why is a Revaluation needed?
For most communities in Connecticut, the real estate property tax is the largest percentage of the tax base from which revenue is generated. Real property assessments are based on seventy percent (70%) of the fair market value of a property at the time of its revaluation. In a market-driven economy such as ours, property values change over time, and at different rates, (based upon property type), and therefore inequities between assessments begin to appear in the tax base. The remedy for these inequities is revaluation.
Is Revaluation required?
Yes, Section 12-62 of the Connecticut General Statutes requires the Assessor or Board of Assessors of each town to revalue all real estate in their respective municipalities for assessment purposes. The statutes provide exhaustive language and mandates that govern the specifics of how a revaluation is to be performed.
What is Fair Market Value?
The Appraisal Foundation defines market value as “the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus.” (2005 Uniform Standards of Professional Appraisal Practice, pg. 210)
The Connecticut Assessment and Appraisal communities, as well as the Court system, have adopted the above or very similar language, to define what fair market value is.
How is Market Value determined for a particular property?
Market value is arrived at for a particular property by analyzing the most recent selling prices of properties with similar characteristics as the subject property, making adjustments where necessary, and estimating the most likely selling price for the subject. Property characteristics analyzed during this process are: location, size, quality of construction, age and condition of improvements, topography, utilities, zoning, wetlands, as well as amenities such as bedrooms, baths, fireplaces, air conditioning, garages, pools, etc.
Briefly explain the Revaluation process?
The Milford Assessors staff has been compiling and analyzing sales data for the past two years and will continue to monitor sales activity for the duration of the revaluation. Current assessment practice requires the assessor to develop an estimate of value for the land and an estimate of value for the buildings. Land sales are analyzed and estimates of land value are determined, typically by neighborhood and street. Improved property sales are then analyzed and estimates of the depreciated
value of the improvements, and their subsequent contribution to the overall market value of the property, is determined and established. Once market-derived cost schedules and land tables have been determined, estimates of value are made for all properties. The Assessing staff will then review the estimated value of all properties in the field, verifying certain exterior improvement data, and, when necessary, make interior inspections. As final value estimates are established, the Assessing staff will continue to review the most recent sales activity so to affirm and/or adjust final value estimates. Property owners will then be notified of their new assessments by mail sometime in early October. Remember, the new assessment should represent seventy percent (70%) of the fair market value as of October 1, 2006.
How will I know if my assessment is correct?
There are two very good methods of determining whether or not your new value
is both fair and equitable. First, compare your property’s new market value (divide the new assessment by .70) to the selling price of homes in your area that are similar to yours. Your value should be in line with these selling prices. Second, compare your assessment to similar properties in you area. You can do this by going online at www.visionappraisal.com, click on ONLINE DATABASE ACCESS, click on Connecticut, then find Milford, and then you should be able to search your neighbors’ assessments. You may also wish
to use the Sales Search option to find sales of properties similar to yours.
What if I disagree with my assessment?
If you wish to dispute your assessment, you may schedule an informal hearing with one of the Assessors by calling the number listed on your assessment notice. Informal hearings are a brief opportunity for you to bring to the attention of the Assessor data, which you believe will support your position that the assessment is incorrect. Note: This
hearing is not a forum to discuss taxes, only value. After the presentation of your data,
the Assessors office will review your claim
and respond in writing shortly thereafter.
What if I am still aggrieved?
You may then wish to schedule an appointment with the Board of Assessment Appeals. They will begin taking appointments in February for hearings to be held in March of 2007. They will likewise review data presented to them for consideration of a value review. This independent and more formal body of elected officials will deliberate after hearings and the results will be mailed to property owners. Should the property owner still feel the assessment is incorrect, they may appeal to Superior Court.
| 
