The vast majority of what
T
Tennessee
homeowners
h
h
have
seen and read reflects the
national picture of real estate
values.
Tennessee has not
experienced the same degree
of foreclosure activity or
decline in real estate values
as portrayed in most national
media reports.
Biggest Public Relations Problems
Most difficult things
g to convey
y to p
public

most of the news coverage they have seen regarding
dramatic declines in property values was national rather
than local in nature

an increase in their their value changes were over a 4
year period, not just since 2009

though housing prices declined for the most recent 18 to
24 months, that did not offset the earlier gains in the first
2 ½ yyears of the cycle
y

an increase in their property value doesn’t necessarily
mean a proportional property tax increase (Certified Tax
Rate)
2
Appraisal Ratios
Notice of Action of State Board of Equalization
Adopting 2008 Appraisal Ratios
-
-
Anderson
Campbell
p
Cocke
Fentress
Hamblen
Hancock
Blount
.8471
.8493
.8529
1.0000
.8729
1.0000
.8587
8587
Bradley
Claiborne
Cumberland
Greene
Hamilton
Jefferson
.8594
1.0000
1.0000
1.0000
.9273
.8667
3
Sale Price/Appraisal
1.00 = Market Value
2010 Reappraisal
of Residential
H
Homes
th
through
h April
A il 2010
7952 Total Sales
798 2009 Sales
176 2010 S
Sales
l
Ratio
1.20
1.15
1.10
1.05
1.00
0.95
Ja
n0
Ap 6
r-0
6
Ju
l- 0
O 6
ct0
Ja 6
n0
Ap 7
r-0
7
Ju
l- 0
O 7
ct0
Ja 7
n0
Ap 8
r-0
8
Ju
l- 0
O 8
ct0
Ja 8
n0
Ap 9
r-0
9
Ju
l- 0
O 9
ct0
Ja 9
n1
Ap 0
r-1
0
0 90
0.90
Wtd Mean
Median
Poly. (Wtd Mean)
Poly. (Median)
4
Housing/Commercial Permits
1200
1000
800
600
400
200
0
2003
2004
2005
2006
House Permits
2007
Comm. Permits
2008
2009
5
6
State Law Protects Property Owners
During Reappraisal Years
State law protects property owners from paying
more than their fair share by adjusting the tax
rate to a level that would bring
g in the same
amount of revenue as before reappraisal,
excluding
g new construction. This is called the
Certified Tax Rate, and it prevents local
governments from experiencing a financial
“windfall” in reappraisal years at the expense
of property owners.
7
2010
Preliminary Certified Tax Rates
Blount County
Alcoa
Maryville
$2.04
$1 96
$1.96
$2.17
8
9