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All in Adams - Property Taxes 101 with Adams County Assessor Thomas Swingle
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On this episode of All In Adams, we’re breaking down Property Taxes 101 with Adams County Assessor Thomas Swingle. What exactly does the Assessor’s Office do? How is your home’s value determined? Whether you’re a longtime homeowner or new to Adams County, this conversational episode will help you better understand how property taxes work and where your dollars go in our community.
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Transcript
00:00:03
Speaker
Welcome
Introduction to All In Adams Podcast
00:00:04
Speaker
to All In Adams, the official podcast of Adams County Government, where we're all in for our residents, our employees, and our community. So whether you live here, work here, or you just want to know more about what makes Adams County a great place to be, thanks for tuning in. We're all in, Adams.
00:00:22
Speaker
All right,
Understanding Property Taxes
00:00:23
Speaker
welcome back to All in Adams, the podcast where we break down the topics that impact our residents and communities across Adams County. I'm Amber Ferguson, the Communications Director with Adams County, and today we're tackling a topic that affects nearly every homeowner, but can sometimes feel a little confusing, property taxes.
00:00:42
Speaker
From assessed value versus market value to who actually sets your tax rate, we're covering property taxes 101 and answering some of the most common questions residents have.
00:00:53
Speaker
We'll also bust a few myths along the way and hopefully make this a process a little less intimidating. Joining us
Role of the Assessor's Office
00:01:00
Speaker
today is Thomas Swingle, the Adams County Assessor. Thank you for being here today and welcome. Yes, I'm glad to be here. Appreciate you guys giving me the time to speak and answer questions.
00:01:09
Speaker
I know a lot of people always have questions about their taxes are their property values and how it affects our taxes. So I'm glad to be here. So thank you. Of course. So we will jump right into it. So when people hear assessor's office, what do they think what do they think that that means? And what do you actually do in the assessor's office? Typically, they think that we control their tax bill, which we don't. We're only about one third of the equation when it comes to their taxes.
00:01:37
Speaker
And what we actually do is we determine the property values for that calculation for the property taxes that are paid to the county. So... We determine we're basically appraisers that determine the property values for that one third part of the equation.
00:01:53
Speaker
That's great. And if there was one myth that you could bust right now about property taxes specifically, what would that be? That would be that we do, can i would the myth is that we control property or the taxes that people pay. We do not control the the taxes.
00:02:11
Speaker
We have a big part in it as far as how the properties determine the value determined. But like I say, we are we are only the one third of that equation. And so there's other factors that play into that equation as well. So most people think that it's just the assessor's pull full on doing the property taxes and we are not.
00:02:33
Speaker
So this will be a fun one. If you had to explain property taxes to a 10-year-old, how would you explain it? and Property taxes are the money that people pay to the county based on how much their property is is worth.
00:02:46
Speaker
The county uses that money to pay for things for things everyone uses and within the community, like the schools, the roads, fire department. And so they're basically helping support the community.
00:03:01
Speaker
That's great. So I kind of want to get into the nitty gritty of property taxes. You know, we kind of talked a little high level about it. um Where does that money go? and what are we funding locally with property taxes?
00:03:15
Speaker
Well, the money goes, like i say, originally it supports our community. So it supports your schools, your libraries, the fire departments and constructions of the roads, maintaining our roads and everything within the community. So it's really there to support the community.
00:03:32
Speaker
That's great. Thank you. And
Market Value vs Assessed Value
00:03:34
Speaker
can you break down for us, what is the difference between market value and assessed value? Yes, market value is the assessor's estimate of what the property would sell for as of the appraisal date.
00:03:47
Speaker
So it's basically the current market value of the property. Assessed value is a portion of that market value that is actually used to calculate those property taxes. And it's determined by multiplying that market value by the state assess assessment rate that was set by the state.
00:04:06
Speaker
And so it's just kind of a portion of that. And so we use that to calculate the property taxes. So it's not the full amount that the market value is. That's great.
00:04:17
Speaker
And then how often are properties revalued? And then what goes into determining that value? Yes, that's a great question. Properties values are determined every two years in Adams County.
00:04:30
Speaker
And what goes into that is we analyze the current sales that are going on within the collection period and the property characteristics of the property. And then we determine, try to determine what that property would have sold for as of the appraisal date. And we update our values every two years.
00:04:49
Speaker
Great, thank you.
Impact of Property Sales on Valuations
00:04:51
Speaker
And if my neighbor sells their house for a wild price, does that automatically mean my taxes go up? That's a funny good one too. We get that question a lot too.
00:05:01
Speaker
No, not necessarily, but it does factor into the overall analysis of the sales within that area. So it could be an outlier and it could be thrown out if it is an outlier, but so it it can have an effect and factor into your value and it could affect it and go up a little bit if it's, if other, you know, depending on what the rest of the market is doing as well. So.
00:05:26
Speaker
And are property taxes based on what I paid for my home or what it's worth now? They are not what you paid for your home. It's basically what the the market is now, what it's currently worth now. But a lot of people buy their house within the two-year collection period that we use for analysis for that.
00:05:45
Speaker
So if you bought it within recently, within the last couple of years, it will factor into that analysis and kind of play into the the actual value of the home. So...
00:05:57
Speaker
when you first buy it within that first two years, if it's a new sale within that first two years, it does factor into the analysis. But if you bought it 20 years ago, the amount you paid for 20 years ago is not the value that you're going to have on on on it currently.
Effects of Market Swings on Taxes
00:06:12
Speaker
Right. And I want to talk a little bit more about e valuations in the market changes because that does impact property taxes. Yes, certainly does. Absolutely. So we've seen some big swings in the housing market in the past few years.
00:06:25
Speaker
How does that impact valuations here in Adams County? It really impacts it. Over the last six years, we've really seen a rise of swing and rise of value. Adams County is really growing. We've seen a lot of growth in Adams County. And so with that growth becomes demand and then also the values go up. And so we've really seen the value shoot up Adams County and the metro area over the last six years. And With that swing, the property taxes will swing with that and go up as well. So it really does have a big impact on it, on what the market's doing and what those taxes are, what you're going to be paying in taxes.
00:07:06
Speaker
And so what factors don't affect my property value? For example, if I painted my kitchen neon green. Yes, we get that one a lot too. And luckily, you know, most of the ah minor improvements such as painting or even like new carpet and household items don't don't have a big effect on on the values because they're easily can be changed and they're not that high of prices to to make those changes as far as painting and all that. And so those ones, those are the most ones that don't really have a big effect on the values. Yeah.
00:07:41
Speaker
For the record, I personally wouldn't paint my pick my kitchen neon green, but i will respect anyone who does. I've seen a few. I've gone in some houses and seen a few. that But they're easy to change, so that's why it doesn't really affect either. You know you could buy the house and repaint it pretty easy. so they Cosmetic. So those don't have any effect on the values. yep Absolutely.
00:08:03
Speaker
Do you actually come inside my home?
Home Inspections by Assessor's Office
00:08:05
Speaker
It depends. Most homes, when they're being built, the new homes, we do get in there to do to check on them to make sure the inventory is correct and our characteristics are correct on those. And so we always get in, try to get in those while they're being built, not when the residents are actually living in those homes so once the residents get loop move into those homes we do not typically go into the homes unless we are requested to do an inspection of the home to correct our characteristics and our data that we have within our system so we do we will upon request is is usually when we go into people's homes and they know we're going to go in and they welcome us into the home we don't just go in and We will not demand to go into your house or anything either. so
00:08:50
Speaker
That's great. That's great to know. And then what's one thing that homeowners are surprised to learn that affects their property value? And this could be a variety of things too, or even if you have a list of top ones that you can think of.
00:09:03
Speaker
Well, the main one is, and it kind of surprises me that it surprises them, but coming from the assessor and being appraiser is ah the current market comps, comparable sales, they're kind of surprised at that. They feel that the value, a lot of times they'll be like, well, why did my value go up? I didn't add anything or even change anything to my house.
00:09:25
Speaker
And that's not what affects the values. It's the comparables of what your neighbors and what other comparable properties are doing within that market area that determines the rise in in the prices, not not what necessarily what you've done to the home as far as improvements and all that as well.
00:09:45
Speaker
So I want to move on and talk a little bit about the tax bill breakdown specific to property taxes.
State-Set Tax Rates and Annual Changes
00:09:51
Speaker
So do you as the assessor, do you decide on how much I pay in taxes?
00:09:57
Speaker
We do not decide on how much you pay on taxes, but we do we just determine what that property value is. So it goes to help do the calculation of the property taxes. Being that one-third of the calculation, we determine what that current market value is so they can do the calculation, and then it's times by the assessment rate that's set by the state, and then then times by your mill levy, that's your local ah special districts and all that will apply to it. so
00:10:28
Speaker
So we we don't determine that. We do not have that. So it sounds like there's a lot of variables that essentially play into that. There is, yeah. The three main variables, yeah. That's right.
00:10:39
Speaker
And then who sets the tax rate? That would be coming from the state. The state legislation decides what tax rates come through and and how we have to adjust. And as of late, we have to adjust our tax rates about every year because they're trying to adjust for the big increase that we've seen over the last few years in taxes that they're trying to, you know, make it better, easier on on the taxpayers. So that that tax rate does change, but that's...
00:11:07
Speaker
not what we do it we have to follow what the state decides on making those changes to those tax rates and when people see their bill increase what is driving that well it is mostly the current market value what's going on with the market but also the tax rates that are coming in and the mill levies can can really affect that um but typically it is you know the real estate market that's really driving that But they do, you know, some of the tax rates do have play into that and will play into that if they raise the tax rates. And so, but it is typically the, you know, the residential market or the current real estate market.
00:11:50
Speaker
Right. And I want to shift gears and talk about appeals and exemptions. Right. So if I disagree with my e valuation, what should I do?
Appealing Property Valuations
00:11:59
Speaker
You definitely appeal, appeal to the assessor's office.
00:12:02
Speaker
Um, we're just getting into that appeal season of May. Uh, we always send out our NOVs notice of values right in the first of May. And that gives people a time to receive it and then appeal that in the month of May.
00:12:18
Speaker
um if they feel that something's incorrect with either the valuation or the characteristics that we have on that property. And so, yeah, that's definitely a appeal ah if if you feel it's incorrect. But I definitely would suggest, you know, really kind of getting an idea of what the market's doing so you know what you're heading into on that appeal, if it's really legitimate or not, that that value is there. So, I would suggest, you know, doing a little bit of market research before you do the appeal as well, but definitely appeal if if you feel anything's wrong. It it doesn't hurt anything to to do the appeal as well.
00:12:55
Speaker
How common are the appeals? And kind of a two-part question, how common are they? And do people often win? Yes, that's a great question. We do get appeals quite common. They're very common, especially when the market is really hot like it has been the last couple of years or the last couple of reappraisal cycles. So it is very common and people do actually get adjustments. you know They can and do get adjustments. Not always. you know we We like to think that we did do our valuations pretty accurate and we really strive to do that. So typically, you know most of them
00:13:32
Speaker
are pretty accurate. And, but if there's and anything incorrect and it's mass valuation as well. So sometimes we do miss stuff and there are characteristics that we didn't pick up correctly. And so, yeah, people, people actually do get some when the appeals as well. Yep.
00:13:50
Speaker
And what are some of like the big mistakes or a big mistake that people do when they are filing an appeal? One of the biggest mistakes I see is not preparing their documentation directly coming into the appeal.
00:14:04
Speaker
And a lot of that would be, you know, documenting sales that comparable sales that you think we should have used versus the sales that we have used. And they can be different. There's quite a few sales out there. And, you know, in a hot market, there really are a lot of sales. And so I think the biggest mistake is not coming in prepared with their documentation and kind of their side, really showing us what they're seeing, why they think we're wrong or incorrect in the value.
00:14:35
Speaker
So documentation definitely important. ones of documentation, yep. That's, yeah, it it goes a long way. and Yes. That's great. And are there exemptions or programs that can help lower someone's property tax bill?
00:14:49
Speaker
Yes,
Tax Exemptions for Seniors and Veterans
00:14:50
Speaker
there are two. Currently, there are two exemptions that can help, and they're mostly geared towards ah the seniors and senior tax exemption and then the veterans tax exemption as well.
00:15:03
Speaker
And so they're pretty good programs that they should, you know, if you're a senior or a veteran, at least look into and check that out. But unfortunately, those are the only two that we have right now that, you know, really help.
00:15:18
Speaker
but it's only a limited, limited demographic of, of, of people that it helps. And that's across the state. Yes. Yes. Yeah. It's a, it's a state.
00:15:29
Speaker
Yep. And who should especially be paying attention to exemption opportunities? Definitely the the seniors really need to because they they need to take advantage of that. And, you know, with our growing population getting into that age, I really suggest doing that, checking it out if you're senior and and then also veterans, of of course.
00:15:52
Speaker
Absolutely. yeah So we're going to lean into new home buyers yeah and that group there, certainly impacted by our housing market. um So any new homeowners or first time home buyers, what's something that they, you know, especially specific to Adams County, what should they know about property taxes as first time or new homeowners?
00:16:16
Speaker
This is a big one I get a lot and even people I know talk about and ask me about it. Biggest thing is to understand your mill levies in the subdivision neighborhood, whatever you're moving into, understand what those mill levies are.
00:16:31
Speaker
A lot of the new subdivisions that are coming in that are being built right now and new infrastructure, infrastructure they really raise the mill levies. They're a lot higher. So you're paying a lot more in taxes so on some of these newer subdivisions to pay for those and pay for that infrastructure and everything. Yeah.
00:16:51
Speaker
And a lot of those mill levies, they'll stay on for 25 years. So you're going to be paying a lot more if you're in a newer subdivision with that really high mill levy. and A lot of people don't and understand that until they get their tax bill and see, oh, wow, why is it so high?
Understanding Mill Levies for New Homeowners
00:17:05
Speaker
And they have really high mill levies just because that area needs that income to come in to help build all that infrastructure and all that. And they don't understand that coming into it. they They love the neighborhood. The houses are really good. But you don't realize that mill levy really high. So that's the number one most important thing I would say to any new homeowner buying their home is understand what that mill levy is and how it's going to affect your taxes.
00:17:33
Speaker
Some people are cool with the high mill levy because they really like the amenities and everything within that subdivision that it provides and they'll pay that extra for it. But If you really aren't expecting that and don't really care about all those amenities, you might have an issue when you see how high your tax bill is based off those mill levies.
00:17:53
Speaker
So that's the biggest one I would say. And let's say someone who is a new home buyer is not familiar with the term mill levy. Can you kind of expand on that a little bit? Yeah, that's the mill levies.
00:18:05
Speaker
Basically the levy that they, the special districts will impose on it, like the schools and then your local government. ah like fire department or your fire and water sanitation all that that's they'll it's it's a percentage of actually don't know how they they figure those the mill levies for themselves but it's something that they they do figures to try and get recoup the money that they need to to do this their special districts and everything so it's something that
00:18:39
Speaker
More outside of my office and just more with the the local entities that determine those mill levies. That's helpful. Thank you. And so why does my mortgage payment sometimes change because of property taxes?
00:18:54
Speaker
That one is one, yeah. Everyone experiences that if you have a mortgage. it's A lot of it is, um your well, it is because your mortgage company has an escrow account that they set aside for tax purposes, for paying your taxes. And so they try to determine how much the taxes are.
00:19:12
Speaker
So they set that aside in your your mortgage payment. But if the taxes go up higher than what they calculated or, you know, determined then they have to get that back to put into the account and then they also try to figure out how much they're going to need going forward so then they always throw in a little more percentage to make sure that doesn't happen again so they they're always have enough in your escrow to do that. So the escrow kind of follows what your, your taxes are doing. So if your taxes go up, then the money in the escrow needs to go up.
00:19:45
Speaker
And that's the only way that, mean that the mortgage companies could get is raising your mortgage to, to fill that gap between your, your escrow and your property taxes. And when should homeowners expect official notices and how can they make sure that they don't miss important deadlines?
Valuation Notices and Deadlines
00:20:02
Speaker
That we always send out yearly. We have to send out, and n o well, every two years we send out an NOV, a notice of valuation. And on the intervening year, we don't send out one unless the value does change based upon a addition to the property or anything that changed the the property value, we will send out that following in the intervening year. But ah it's basically every two years you'll, you'll end up getting a notice evaluation and that's, we always send that out. We have to get those out by the beginning of May. So you always get that, that if not right before May 1st, right around May 1st is when we get those notice of values. And so, and then to keep up with, was the second part? I'm sorry.
00:20:46
Speaker
So the second part was, um, how can they make sure that they don't miss important deadlines? Okay. Yeah. Check in i follow our website, really get into our website and see, you know, check out our calendar and see if anything's coming up. But mostly, yeah, follow the website. We, we try to keep our website up to date with everything and as much information as, as possible.
00:21:07
Speaker
So I'd suggest that or, you know, checking in, you can always call in our office as well too. Absolutely. I'll have you, um if you know it off the top of your head, that phone number that folks can reach you at. our The website is adamscountyco.gov and you can find the assessor um specifically on that website. Under the elected official. Under the elected official. And you can find out, yeah that'll have all all of our contact information, phone number and everything too to contact the office and portals or anything that we need to, you know, transfer documents or anything, so.
00:21:39
Speaker
All right. Well, I'm going to move into a little rapid fire. It's going to be myth or fact. There's only three. So if I finish my basement, my taxes automatically double.
00:21:52
Speaker
That is a myth. It's, it does not automatically double. And Unless you did a really, really nice basement that's larger as large as your house. But no, it it does not double. It will have an impact on your value in the next valuation time coming through.
00:22:08
Speaker
And so it will have an impact on that. But it'll be more based on the the rate of, you know, the value of that, how much the basement, how much we calculate that the square footage of a basement would be, a finished basement would be. Yeah.
00:22:22
Speaker
It will have an effect effect on your value for sure, but it it won't automatically double it by any means, no. The assessor drives around judging my landscaping. That is also a myth. we We do not thrive around judging any kind of landscaping. Landscaping is not part of our valuation because it's something that could be easily changed and adjusted, you know.
00:22:45
Speaker
So it's it's nothing we we do. it's It's more on the improvement on that property is is what we would look at if we're driving around doing any kind of field checks so the landscaping doesn't have any have any bearing on your ah valuation so we don't we don't care what it looks like all right final one property taxes only fund county government that is a myth as well.
00:23:11
Speaker
It does fund our county government, but it also, ah funds your, uh, your local kind of more, your local governments, your schools, your fire departments, you know, it really supports the community. And as far as getting, making sure we have our roads still maintained and make sure the schools getting the money that they need and everything too. so it actually funds quite a bit more than just the government itself. It, it, really funds the community.
Transparency and Trust in Government
00:23:38
Speaker
It's what keeps our community really going and really strong. So.
00:23:42
Speaker
Well, I appreciate all the thoughtful insight into property taxes. I know it can be a lot for people to digest or they may not have a full understanding of what is all involved in it or who they can go to with questions or some of these myths that are out there and people talk and the word spreads. But thank you for providing some clarification on all things related to property taxes.
00:24:05
Speaker
If you had to leave us with one thought for today, what would that be? For one thought, that you know understand you know if you're going to appeal your values, really try to get understanding of what the market's doing.
00:24:19
Speaker
and Especially as a homeowner, it's important to know kind of understand what the markets you know what the market trends are, in your at least in your neighborhood. so You are kind of educated on you know, if you really should appeal it or not and, and, you know, kind of help maybe build trust in your government and the residents, if they understand where we're coming and from and know that we are just following what the market's doing as well. So if the more they understand what the market's doing, they, you know, could see that, Hey, they were actually doing, showing just reflecting what the market's doing. We're not trying to raise anyone's taxes or, you know, control anyone's taxes. We have no control. We don't,
00:25:03
Speaker
Within the assessor's office, we don't care what the taxes are. We are there specifically to do property valuation and property valuation only, which does affect the taxes, but we only care about what that property e valuation is. And getting the property e valuation accurate and equitable throughout the county is is my biggest thing. and And also to be as transparent as possible as well. And that's one thing we want to strive our office to be as transparent as possible and leverage our technology and our website to really try to do that as well. And so...
00:25:37
Speaker
Thank you. That was very insightful. So
Conclusion and Staying Connected
00:25:40
Speaker
if you still have questions about property taxes, valuations, appeals, or exemption programs, visit the Adams County government website, adamscountyco.gov, or contact the county assessor's office directly for reliable information and important deadlines.
00:25:56
Speaker
For assessor Thomas Swingle, I'm Amber Ferguson. Thank you for joining us on this episode of All in Adams, and we will see you next time. Thank you. Appreciate it That's a wrap for this episode of All In Adams.
00:26:10
Speaker
Thank you for joining us as we explore the people, programs, and the policies that make Adams County a great place to live, work, and thrive. If you enjoyed the show, be sure to subscribe and share with your friends, neighbors, and colleagues.
00:26:23
Speaker
Have a topic you'd like us to cover? Let us know. We're All In for bringing you the stories that matter most. Until next time, take care of each other and stay connected with us on Facebook, Instagram, Nextdoor, and X.
00:26:36
Speaker
We're all in, Adams, and we're all in for you.