February 23, 2021
By: Dwayne Page
DeKalb County has experienced increases in property values and sales over the last four years and that will be reflected in the finalized overall property revaluation when the latest reappraisal cycle is completed this spring.
During Monday night’s regular monthly meeting, Assessor of Property Shannon Cantrell informed the county commission that DeKalb County is now in the fifth year of the latest five year reappraisal cycle which means property values will be updated soon.
“As you might know DeKalb County has seen record property sales over the last four years. For example the base rate for an average home in 2016 was $100,500 and it looks like the base rate this year is going to be somewhere around $135,000 which is about a 35% increase. Of course every property is different, whether it be farmland, where it is, or what type of home and we mass those in groups but this example should give you some kind of indication of the increase in appraisals upcoming this year,” said Cantrell.
State law establishes reappraisal for updating and equaling property values for every county in Tennessee for property tax purposes.
In DeKalb County, reappraisal is an on-going process comprised of an on-site review of each parcel of real property over a four year period followed by a finalized revaluation of all such property in the fifth year.
Once property values are finalized this year, they will remain the same until the next five year reappraisal cycle is completed in 2026 regardless of how the market performs.
“In the previous (five year cycle) information was collected in the years, 2015, 2014, 2013, and 2012 when things (market) were down and a lot of things were not selling good and that made for lower appraisals in 2016 and those are still in place right now but they will soon be changed by property sales that have transpired over the last four years which will be an increase,” said Cantrell.
“In this final year of the reappraisal cycle we are in your home’s worth and market value should be the same. It may have been low these previous four years but once reappraisal is finalized your home should be assessed at market value or as close as we can get it. That’s the equalization part of it,” he said.
However future changes in the market could affect property values.
“For example lets say your home value has gone up 30% and is worth $200,000 and then there is a downturn in the market and your home value drops to $150,000 you will still be paying on that $200,000 value until the next reappraisal in 2026.
Once the five year cycle is completed and the updated property values are finalized, the state will establish a new certified property tax rate for the county which is expected to be below the current rate of $2.12 per $100 of assessed value but would generate essentially the same amount of local revenue to the county.
Should the county commission later decide to increase the property tax rate above the new certified rate, it would first have to conduct a public hearing.
During Monday night’s meeting, the county commission adopted a resolution authorizing a new continuous five year reappraisal cycle from 2021 to 2026.