| Assessment
notices mailed
2006 Idaho County market value assessment notices are in the mail. County reappraisal crews have been working outside of Grangeville, rural Cottonwood, rural South Fork and Clearwater, and the Salmon River area. Idaho State Law requires every County to maintain an ongoing 5-year reappraisal program, and to adjust the market value of all properties annually based on current market sales. The Idaho State Tax Commission conducts an annual ratio study comparing current sales of property to the value on the county tax roll to assure compliance with the law. These findings affect each county’s school districts’ funding as it relates to the State School Funding Distribution Formula. Market sales of property began to trend higher during 2004 and have continued their steady increase through 2005. Selling time for a home placed on the market has shortened. Prices are moving ahead. To meet the State requirement that assessed value at the local level are in line with current sales most properties have seen adjustments for 2006. A primary force in Idaho County’s marked are retired individuals moving into the area. Low interest rates and a renewed American home owning tradition have sparked the real-estate market nationwide. The bulk of the new construction is occurring outside of the incorporated cities. Much of this activity is on parcels in rural subdivisions that have been developed in the past few years. In 2005 there were over 100 new homes built in the County. New construction is continuing in 2006 at the same pace. The 2006 Idaho State legislature spend most of this session struggling with the reality of the booming real-estate market and its effect on market values for tax purposes as related to State School Funding. For 2006 the “Homeowners Exemption,” which was at $50,000 has been increased to $75,000 to lessen the increases to residential properties, which are valued based on sales prices. The effect of this change is to shift some of the property tax burden to other classes of property. In the final days of the legislature, an attempt to shift the funding for schools to an added 1% sales tax failed. The State of Idaho Tax Commission continues to monitor all Counties across the state for compliance at being at market levels. Areas such as McCall and Coeur d’Alene with the strongest real-estate markets will see the largest adjustments in market value. The Idaho State Legislature also repealed the “Developers Discount.” Vacant lots that were valued at agricultural rates in 2005 must now be valued at market value for 2006. |
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