As we’ve mentioned before, home prices in the Dallas area have been steadily increasing. According to the latest statistics, the median house price in the Dallas-Fort Worth area is up 12% from 2020, and housing availability is down by 69%!
This increase in price and decrease in supply means that home values have gone up and seemingly will continue to do so. As housing prices increase, so do property taxes. In some areas of DFW, property taxes have increased by 10% or more, an extraordinarily high percentage for those who’ve lived in this area for a while.
These property tax increases can be incredibly prohibitive for anyone who owns a home in the area, especially if you’re not covered by the Homestead Exemption (which protects against increases > 10%).
Legislation (HB 2311) has been proposed to limit yearly appraisal increases to 5% for Homestead Exemption and no more than 10% for other homeowners. However, that may come too late for some DFW area buyers.
If you’ve received an appraisal increase and are worried your property taxes are too high, you have until May 17th the petition in Dallas County. Check your individual county’s petition filing date.
How To File a Property Tax Appraisal Petition
If you believe your property tax assessment is too high, based on the value of your home, you’ll need to file a petition. In Dallas County, you fill out a document on their uFile Online Protest and Settlement System. You’ll need proof that your appraisal is incorrect, and you’ll be contacted by an appraiser for a hearing date if your initial petition query is approved.
You can also mail your petition to:
Appraisal Review Board of Dallas County
Residential Division
PO Box 560348
Dallas TX 75356-0348
It’s important to keep in mind that documentation is everything. Your property appraisal is based on sales from January 1, 2020 through around March 31, 2021. It also doesn’t take into account the individual condition of your property or home. If you’ve had damage to your home from storms (like the ice storm and power outages in February 2021), you’ll need to document that. If you’ve lost your job due to COVID-19, you may also need to include those details. You can also file a petition by showing that the increase to your taxes would be prohibitive, or even force you out of your home.
If you’ve received an assessment that you’d like to petition, do so now!
Plan for Future Property Tax Increases
Unfortunately, these property tax assessments (and increases) will continue as long as the Dallas housing market continues to boom. If you’re on a fixed income, planning for retirement, or simply trying to manage your money better, these increases can be frustrating. With a financial plan, though, you can handle these changes to your housing expenses with less stress.
If you need financial advice and guidance from a local professional who cares, contact Guiding Wealth today.