Morristown Property Tax Revaluation: What Homeowners Need to Know

Morristown is conducting its first property tax revaluation in 20 years. This process, originally scheduled for 2022, faced multiple delays but is now set to complete in 2024. The revaluation aims to create fair and accurate property assessments across the town. However, it’s causing concern among homeowners who worry about potential tax increases.

Why Property Owners Are Worried About Tax Shifts

Recent market changes in commercial real estate are creating uncertainty about Morristown property tax burdens. Here’s what’s happening:

Declining Commercial Values: Office buildings and commercial properties have lost value due to changing work patterns. When commercial property values drop, the tax burden often shifts to residential property owners.

This trend isn’t unique to Morristown. Cities across the country face similar challenges as commercial real estate markets weaken.

Budget Gap Concerns: Lower commercial property values reduce the town’s total ratable base. To maintain municipal budgets, the tax burden may shift more heavily to homeowners.

Other cities like Boston are considering property tax hikes on commercial properties to prevent this shift.

The Confusion Over Tax Estimates

Last fall, many Morristown property owners received concerning news when they saw their projected reassessments and estimated Morristown property tax amounts from the town’s consultants.

According to Mayor Tim Dougherty, those initial numbers “were wrong.” The estimates failed to include county and school board information, which are essential parts of New Jersey’s property tax formula.

New, corrected estimates should reach property owners soon. This timing is crucial because the deadline to file a property tax appeal in Morristown is May 1, 2024.

Understanding How Property Tax Revaluation Actually Works

Many homeowners assume revaluation automatically means higher taxes. This isn’t necessarily true.

1. Assessment: The revaluation changes your property’s assessed value
2. Tax Rate: The town adjusts tax rates annually to meet budget requirements

Your actual tax bill depends on both factors. It’s possible for your assessment to increase while your total tax bill decreases if the tax rate drops enough.

When Property Tax Appeals Make Sense

Revaluations can result in unfair or inaccurate assessments. Consider appealing if:

• Your new assessment seems significantly higher than comparable properties
• The assessment doesn’t reflect your property’s actual condition
• You believe errors were made in the evaluation process

Working with an experienced property tax lawyer can help you understand whether an appeal makes sense for your situation. They can review your assessment and guide you through the appeal process.

For commercial property owners, the stakes are often higher. An industrial property tax assessment error can cost thousands of dollars annually.

Important Deadlines and Next Steps

Key Dates:

• May 1, 2024: Deadline to file property tax appeals in Morristown
• Soon: Corrected tax estimates will be mailed to property owners

What You Should Do:

1. Review your corrected tax estimate when it arrives
2. Compare your assessment to similar properties in your area
3. Consider consulting a property tax lawyer NJ if you believe your assessment is unfair
4. File any appeals before the May 1 deadline

Get Expert Help with Your Property Tax Assessment