BLOG: Property Tax Appeal
April 1, 2011 Tax Appeal Deadline Looms
REDUCING REAL PROPERTY TAX EXPENSES IN THE CURRENT REAL ESTATE MARKET As certain sectors of the real estate market in New Jersey continue to be in flux, owners, operators and property managers of commercial, industrial and other investment properties may look to reduce real estate tax expenses by considering an appeal of their 2011 local... Read More
Senate Passes Tax Appeal Reform for Monmouth County
The New Jersey Senate has approved legislation that would establish a real property assessment “demonstration program” in Monmouth County. The bill, Senate Bill 2234, attempts to reduce costs while improving the accuracy of the property assessment process by addressing costs from successful tax appeals versus merely consolidating the county-based system. The new system shifts assessment,... Read More
Federal Agency Releases New Appraisal Guidelines for Financial Institutions
Financial institutions have new guidelines to follow when conducting real estate appraisals and evaluations. The Interagency Appraisal and Evaluation Guidelines, which replace the 1994 guidelines, explain the minimum regulatory standards for appraisals. Highlights from the Guidelines and its appendices include: * recognizing that a borrower’s ability to repay real estate loans according to reasonable terms... Read More
Farmland Assessment Practices Growing Concern for Two Senators
An article in the Asbury Park Press highlights the efforts of Senate President Stephen M. Sweeney, D-Gloucester, and Sen. Jennifer Beck, R-Monmouth, to end alleged abuses of the farmland assessment system in New Jersey. New Jersey law currently requires a minimum of five acres and $500 in sales to qualify for the reduced tax assessment. Possible... Read More
Mercer County Board of Taxation Orders Four Municipalities to Undertake Revaluations
The Mercer County Board of Taxation is requiring Trenton, Hamilton, Ewing and Lawrence Township to undergo revaluations for the first time in over 15 years to align assessment values. Property tax assessments are tied to market values, which means that a property’s assessment should equal what it would sell for in the marketplace. A lack of... Read More
Property Owner Keeps Tax Abatement After Municipality Failed to “Turn Square Corners”
The New Jersey Tax Court recently rejected the City of Millville’s argument that a five-year tax exemption and abatement awarded by the City’s tax assessor and ratified by its governing body should be rescinded because the property owner filed for the abatement four days late. The property houses a Lowe’s Home Center, and is located in... Read More
Appeals Court Denies Request for Expert’s Records
A recent New Jersey appeals court has ruled that a litigation expert’s financial records are not subject to disclosure. This holding could impact eminent domain and real estate tax appeal litigation because both practices rely on expert opinions to establish a property’s value. In the case in question, a plaintiff’s attorney in a personal injury case requested information from... Read More
Monroe Township Ordered to Undertake Revaluation
The Tax Court of New Jersey recently granted an application by approximately 1,000 Monroe Township property owners which will require the Township to undertake a municipal property tax revaluation. The plaintiffs claim that the “Chapter 123” equalization ratio for the Township is skewed and discriminatory based on the Township’s failure to properly categorize sales between 2001 and 2005. ... Read More
Contaminated Property Would Be Assessed As-If Remediated Under Proposed Legislation
New Jersey Assemblyman Craig J. Coughlin has sponsored bill A-3179 in the New Jersey Assembly. The bill, if adopted as introduced, would require that “the true value of a parcel of real property contaminated with a hazardous substance . . . shall be its value as if it were remediated .” Under current New Jersey case... Read More
Rise in Appeals Causes Municipal Budget Crunch
New Jersey municipalities are facing serious budget deficits, as they experience the fallout of reduced property tax revenues resulting from a record number of property tax appeals filed in recent years. Property owners who are successful in tax appeals are entitled to refunds under New Jersey law. These refunds have created troublesome deficits at the... Read More
