Q: How does a home’s assessment relate to market value?
A: The State of Illinois requires that all property be assessed at one-third (33.3%) of the three-year average fair market value for property tax purposes. This average may be somewhat higher than the present market value due to the continuing decline in home market values. To determine a home’s probable fair market value, say when getting ready to sell, go to the Model Report, find the property in question, and multiply the most recent equalized assessed value by three.
Q: What will happen to a property’s assessment if an addition or improvement is added?
A: Any new construction to a home that increases its market value must be reflected in its assessed value. This may include decks, patios, sun rooms, finished basements, expanded living space, etc. The Township Assessors receives copies of building permits, which starts a field inspection to verify the details of the new construction. Any new value added to the home will be reflected in the next year’s assessment. This value, up to $25,000 assessed value, may be exempted for a term of four years in the final tax calculation.
Keep an eye open for more Q & A’s about property assessments and information in future editions of the Sun Day. And look at www.suncpac.org for your Model Report.
