Assetsoft - Blog #property listing tips

How Property Tax Appeals Can Help property owners Save Money

Sun, 02 Apr 2023 21:53:50 -0500

Property taxes are a significant expense for property owners, and they can often increase unexpectedly, causing financial strain. However, property tax appeals can help property owners save money by reducing their tax bills. In this article, we'll explore how property tax appeals work and how they can benefit property owners.

If you are a property owner, we are sure you have come across some hefty tax bills every year. And if you have multiple properties under you, the situation can get even worse. That is why it is crucial to take advantage of the property tax appeal system and save some money so your pockets hurt less.

But surprising facts by CBS News state that only 5% of property owners actually go through with the appeal process. But the same reports say that over 30-60% of properties are over-assessed by the government assessors for tax needs. So, why overpay when you can save money with an appeal?

What is a Property Tax Appeal?

A property owner can challenge the assessed value of their property to have their tax bill reduced by filing a property tax appeal. According to the state and jurisdiction where the property is located, an appeal must normally be made to the board of equalization or the local tax assessor's office.

How Can Property Tax Appeals Help Property Owners Save Money?

Property tax appeals can help property owners save money in several ways.

Reducing the Assessed Value of the Property

The ability to lower the property's assessed value is one of the biggest advantages of filing a property tax appeal. Property owners may save money as a result of lower property taxes. If a property is assessed at $500,000 but only has a $450,000 market value, for instance, a successful appeal could lower the assessment to $450,000 and result in cheaper property taxes.

Recovering Overpaid Property Taxes

Property owners may have overpaid their property taxes in some instances as a result of an inaccurate assessment. Property owners who file tax appeals may be able to recoup the unpaid taxes, saving them a sizable sum of money.

Avoiding Future Tax Increases

By contesting the assessment and establishing a more accurate valuation for the property, property tax appeals can also assist property owners in avoiding future tax rises. This can provide financial security for property owners by preventing unforeseen rises in property taxes.

Improving the Property's Market Value

Reducing the assessed value of the property through a successful appeal can also improve the property's market value. A lower assessed value can make the property more attractive to buyers, potentially increasing its market value and resulting in higher sales prices.

Save money over time

Over time, even a slight decrease in property taxes can produce considerable savings. The money saved on taxes might be invested in a property by the owner or used for other things.

Other ways that property tax appeals help commercial property owners

Lowering operating costs

Commercial real estate businesses have a wide range of expenses, and property taxes can be a significant portion of their overall costs. By filing a property tax appeal, a commercial real estate business may be able to lower its property tax bill and reduce its overall operating costs.

Increasing net operating income

Net operational income (NOI), which is the sum of money earned by the property after all operational expenses, especially property taxes, are subtracted, can be increased by property tax appeals that lead to a lower tax bill. A property's worth and profit potential can both be raised by a higher NOI.

Staying competitive

Property taxes can be a significant factor in the overall cost of owning and operating commercial real estate. By filing a property tax appeal and lowering their tax bill, a commercial real estate business can stay competitive in the marketplace by offering lower costs to potential tenants or buyers.

Improving marketability

A property may become more appealing to potential tenants or buyers if a property tax appeal is successful and lowers taxes and improves NOI. This could make it easier for the commercial real estate industry to sell its properties and possibly bring in greater rents or sale prices.

Protecting assets

Commercial real estate companies can safeguard their assets and make sure they aren't paying more in property taxes by submitting a property tax appeal. They can continue to make investments in their properties and preserve their financial security as a result.

Improved cash flow

Reduced property taxes result in better cash flow for owners of commercial real estate, who can use the savings to upgrade their assets or grow their companies. This will help make your financials better. Reports say that without this cash flow, more than 82% of businesses fail when they succumb to the cash flow pressure.

Competitive advantage

Reduced property taxes can also give owners of commercial properties a competitive edge over other properties in the same neighborhood because they will be able to charge their tenants lesser rent or other expenses.

Fair assessment

Property tax appeals can assist in preventing overassessment and undue taxation by ensuring that commercial properties are valued fairly and accurately.

Greater transparency

Due to owners' ability to check the accuracy and timeliness of the data used to estimate their properties' valuations, property tax appeals can help promote openness in the assessment process.

Expert representation

Commercial property owners can benefit from the expertise of property tax appeal professionals, who can help them navigate the complex appeals process and maximize their savings.

Improved relations

A successful property tax appeal can also improve relations between commercial property owners and local tax authorities, as it demonstrates that owners are invested in the local community and interested in working together to find mutually beneficial solutions.

Do You Need a Property Tax Appeal?

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Property owners wishing to reduce their property taxes may find that property tax appeals are a useful tool. Property tax appeals can assist property owners in achieving financial stability and peace of mind by lowering the assessed value of the property, recovering overpaid taxes, preventing subsequent tax rises, and increasing the property's market value.

Consider filing a property tax appeal if you think your property has been overvalued in order to lower your tax burden and save money. If you are looking for assistance during this property tax assessment and appeal process, you are in the right place. Book a free consultation call with our team to know how we can help.

Top Property Listing Tips to Fill in Vacancies Faster

Mon, 09 Aug 2021 08:00:00 -0500

Want to create listings that attract more tenants? In today’s tech-savvy world, more than 50% of buyers look for homes on the internet. As a property manager, online listings are your primary way of acquainting prospects with the property. Well-created property listings improve user experience and create a better impression on prospective tenants.

If you want an excellent marketing strategy, then focusing on property listings is your first step. Follow these top tips to create attractive and informative listings that fill vacancies faster.

1. Make sure to be descriptive

When you place a listing of a property online this is the first impression that online users will have of your property. These users will stumble across your property while browsing and so will want a comprehensive description of the property including:

A summary of the interior of the property (bedrooms, bathrooms, sizes)
Amenities of the apartment/home
Nearby landmarks and convenience locations (supermarkets, hospitals)
Proximity to attractions such as coffee shops and theme parks

The more detailed the description is, the more interest you will be able to garner from each user. The user will feel like they understand more about the property and will get the “initial feel” for the place. Add on to the fact that a detailed description will cover all the common, repetitive questions that buyers will ask, your business will be able to weed out the interested buyers from the window shoppers.

Your property description is also your key to increase visibility. By SEO optimizing your listing, you can bring it to the top of search results. However, optimizing your description for search engines requires more than just writing. If you are new to this, consider hiring a professional SEO expert to get the desired results.

Or, you can also use software to research and write better listings. Yardi’s Commercial Edge lets you research property data across all commercial real estate asset types. These insights create better listings that also have increased visibility through their platforms.

2. Take advantage of visual aids

We live in a time where content is mostly visual. People are so used to visually appealing content that bad visuals are an immediate turn-off and they are highly likely to click away. To attract more users to your listings, high-quality and professional-looking photographs must be added to the listing.

Many businesses or individuals that post listings with little to no photos will find it extremely difficult to find interested tenants. If you think about it, no online user is going to look at a property listing that is just text-based and make a decision to purchase or rent that property. They require visual aids such as photos and videos in order to analyze the property.

Make sure you include as many photos as possible of the property. Everything from the bedrooms, the living area, garden, garage, attic, and so on. The more areas that you capture in these photos, the more these users are likely to show attention to the listing. If you don’t have a professional camera or don’t know how to take professional photographs, then hiring a freelance photographer would be the next best choice.

3. Make use of online advertising

Statistics show that 45% of small businesses use PPC advertising in order to grow their business. The reason for this is simple. PPC advertising brings in immediate traffic, which means a much higher chance for a lead and/or sale. Creative advertisements always catch the eye and can be crucial in converting a lead to a tenant.

Is your property close to schools? Does it have extra outdoor space? Make sure that the advertisements highlight the best features of your property.

4. Leveraging the power of social media

According to statistics, businesses that promote through social media can get up to 10% of their sales through these platforms. In order to promote via social media you can:

Use paid ads similar to PPC campaigns
Create a social media profile and gain followers by posting content
Create or join Facebook groups to list all your properties
List on property-based Facebook groups already active in your area

5. Use modern technology and software

Using software that you find online or through another company, you can do unique things such as:

Adding a video walk-through of the property
Creating a virtual tour of the property
Adding a 3D model of all the floors and amenities
Personalizing the interior using graphics and software

By including these options, you will easily be able to capture the attention of new users. Once they visit your listing, they will get a better idea of the property and get a full modern experience and feel of the property. They will be much more likely to consider a purchase/rental after this experience.

6. Work on your website

You don’t have to rely on third-party sites or pay other websites commissions to host your listings. With your own website, you can utilize the power of SEO to keep bringing in organic traffic on a monthly basis as well.

Just make sure to clean up the website and make it look modern and professional. Users will turn away if the website looks incomplete or like a spam site. You can hire a website developer to create and optimize the website for you to get the best results.

By incorporating the above tips into your business you will be able to get new, warm leads more efficiently and easily for all your property listings.

Manage properties through Assetsoft

Online listings are the first step to effective property management. For hassle-free property management, upgrade to the latest tools and technology. Assetsoft helps clients manage their properties through state-of art-software like Yardi, MRI, and Procore. We provide all property management software solutions--from tenant portals to data and analytics.

Our clients also benefit from our other services like back-office accounting, lease abstractions, and CAM reconciliations. We understand your needs and create tech strategies suitable for your business.

To upgrade your property management, reach out to Assetsoft!