Georgia state law now requires property tax assessors to include distress sales and foreclosures when computing property tax assessments. Both distress sales and foreclosures tend to drive down property values in the area which would result in a lower assessment for tax purposes.
Gwinnett, Clayton and Fulton counties have all lowered assessments based on that new state law’s requirement.
But DeKalb county has, apparently, decided to ignore it. And it isn’t any deep, dark secret that they’re trying to slip past property owners. DeKalb assessors sent a letter accompanying the change value notices they mailed out stating they did not include distress sales or foreclosures in their new assessments.
Obviously, based on the fact that DeKalb county knowingly ignored the law, it would appear that effected DeKalb property owners might have legal recourse. And some are questioning whether the assessments are even legal, since the assessments do ignore a key state mandate for doing such assessments.
DeKalb CEO Burell Ellis, after learning of the problem, asked assessors to reevaluate their assessments and reconsider including foreclosures and distressed property sales. Although Ellis has no legal authority over the assessors, it does raise the visibility of the problem and may force the reconsideration he’s requested.
Of course, lower property values mean less property tax revenues for cash starved counties. However, the law is clear about how such assessments should be done, and if legal non-compliance is unacceptable within the citizenry and not to be tolerated, that should be doubly true for government.
DeKalb county’s property assessors should immediately comply with state law and reevaluate property assessments to include foreclosures and distress sales.
Related article: As housing prices tank, homeowners seek tax relief