4/28/2011Posted by MJ
The LUSJ reported on the preliminary assessment role.
KLW Group has wound down an 18-month citywide property appraisal project, to straighten the “inventory” and establish full-market values for all properties. Whose values are higher, lower or the same since their last appraisal is about to be revealed, as tentative assessment notices start appearing in property owners’ mailboxes today, Acting Assessor Joseph Macaluso said.
Preliminarily, the 2011-12 assessment roll will show a year-over-year $110 million increase in property values citywide.
Theoretically, according to data turned over to the Common Council on Wednesday, the increase in total value drives a more-than $2 city tax rate cut...
...Total assessed value of the city is $740 million. Last year it was $630 million...
...In the residential property class, which includes single- and multi-family homes, 46 percent of properties are assessed at lower amounts than last year...If the value of Lockport was just able to keep up with inflation from 2000, the city would have been "worth" $817M today. 46% of residential properties were not only unable to keep up with inflation but actually lost value compared to 2000. Welcome to the world of stagnant growth where additionally owners are penalized for improving their properties while those who do not are "rewarded" with lower tax bills.
Take 2 people making 40k a year. One invests in their real estate while the other invests in things they can "take with them", i.e. TVs, cars, motorcycles etc while making no improvements to their real estate. Which one is "using the system" more? Which one is more beneficial to the neighborhood/city? Is it the same person that supposedly is "paying their fare share?" I submit it is not.
Everybody's house value could drop 20% and we'd all have the same overall tax bill. Or, everybody could raise 20% and we'd all have the same tax bill. Which is the better scenario for the health and desirability of the city?
Until people start to get rewarded for investing in their property by the city (the market itself in the city stopped rewardinga long time ago) , only the bleeding hearts looking to save a piece of history or those who can aford nothing else, will risk investing in an area with declining property values. What is the city going to do about it? If nothing the city will contiue its low slide down. No amount of budget cutting will fix it.