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DRAFT Reval Article for Newsletter Updated 3/29/11 Draft text for May city newsletter To the public May 23 Special Report: 2011 City of Janesville Revaluation Underway The City of Janesville Assessor’s Office is underway with the implementation of the City’s next revaluation. A citywide residential and commercial revaluation has not been completed since 2002 and the state Department of Revenue requires we complete one for 2011. Please find below a series of frequently asked questions about the upcoming revaluation process. Should you have any questions, please call the Assessor’s Office at 755-3045. How will the revaluation affect my property? Each property owner will receive in mid-June 2011 a notice of their property’s assessment. The notice will list what your property was previously valued at and what your new valuation is proposed to be. Why does the City have to do this? Revaluations are used to equalize the tax base for all real and personal property on the basis of fair market value. Having all properties assessed at their current value ensures each property owner pays his or her fair share of taxes. Will my taxes increase? Not necessarily. Taxation is determined through spending choices of officials in many taxing jurisdictions, such as the State of Wisconsin, Rock County, Janesville or Milton School District, Blackhawk Technical College and the City of Janesville. Once the jurisdictions decide how much funding needs to be obtained through taxes, each property owner’s tax bill is developed using the assessed value of the property as the guide. Several homes in my neighborhood have foreclosed and the banks sold them for much less than what I paid for my home. Does the City consider foreclosures when determining my property’s value? The Assessor’s Office uses only “arm’s length” sales when determining a property’s value; “arm’s length” is only those sales that are voluntary and have independent sellers and buyers. fForeclosures, some bank-owned home sales or sales to relatives are not included. While there are many news stories about foreclosures and they have become very prevalent in other parts of the country, foreclosures and bank-owned home sales are still a very small percentage of the Janesville real estate market. Therefore, the Assessor’s Office will not be using does not use them as appropriate comparables when determining property value. The economy hasn’t been that great in the last few years and homes in my area aren’t selling quickly. Do I infer from these situations that my property will be worth less than the last time it was assessed in 2002? Not necessarily. The chart below depicts how the value of an average priced home in Janesville would have appreciated if the City had revalued the property every year. In the early 2000s, property value rose steadily, while in the late 2000s, values began to decline. Please notice, however, that in comparison to 2002, average priced homes are still valued higher than what they were in 2002. We expect this same trend to occur throughout Janesville. [insert graph] Caption: In the early 2000s, property value rose steadily, while in the late 2000s, values began to decline. Please notice, however, that in comparison to 2002, average priced homes are still valued higher than what they were in 2002. Who should I contact if I have questions about the revaluation process or my assessment notice? Call the Assessor’s Office at 755-3045.