Haven, Mahanoy, Minersville School District Assessment Appeals Reveal Differing County Real Estate Economy.
(For the Oct. 25, 2007, Call, Schuylkill Haven, PA, & the West Schuylkill Press-Herald)
also posted on www.BudAngst.com By Bud Angst
Ongoing Schuylkill County school district property assessment appeals last week continued to point up the contrast between the booming real estate market in the county’s southern tier and the relatively static real estate economy in the county’s so-called “coal regions.”
Property assessment appeals lodged by the Schuylkill Haven School District and heard last week by the County Assessment Appeals Board, for example, resulted in adding almost $1.3 million to that district’s total property valuations compared to approximately $368,000 to the Mahanoy Area School District tax base and less than $113,000 to the Minersville School District’s total taxable property value.
The Schuylkill County Board of Assessment Appeals on Tuesday and Wednesday of last week acted on the assessment values on Schuylkill Haven-area properties purchased in the last year at prices far above the more-than 10-year-old values currently used as the basis for determining property taxes throughout the county.
Haven Wins 87%
Of the 82 cases appealed by the Schuylkill Haven School District, all of them recently purchased at presumably “arms-length” transactions, the district withdrew 2 cases, lost 8, and won 72 cases that increase the district’s total taxable property base by almost $1,300,000 ($1,293,390 by this reporter’s admittedly inexpert calculations).
By contract, the Minersville Area School District initially filed appeals on 30 properties but, prior to the hearings, withdrew its appeals on three residential properties. In addition, 16 properties were ruled “ No Change” by the Board of Appeals (losses to the school district) and, in one case, the Board actually lowered the assessment on a residence that was listed on the County’s records as worth $71,800 but sold in the past year for only $58,820, resulting in a 9% lower assessment.
Nevertheless, the Minersville School District’s appeals added an estimated $112,000 to its taxable value. The Mahanoy Area total valuation increase (67 properties) is an estimated $368,000.
In the Schuylkill Haven School District’s 72 cases, an estimated 58% resulted in assessment increases under 50%, while 20% of the increased fell in the 50-74% bracket, 7% in the 75-99% increase range, and 15% (10 cases) were in the “over-100% increase” range.
Highlighting that latter range (over 100%) were the following examples:
• Valued on the County records at $6,080, purchased for $92,920, resulting in an assessment increase of 1,442%.
• Listed Market Value $16,394, sold for $87,860
• Listed at $3,050, sold for $56,740
• Listed at $53,380, sold for $171,900
• Listed at $2,800, sold for $17,500
Minersville Wins 112
Results were markedly different in the Minersville School District appeals although the district nevertheless boosted its taxable property value by approximately $120,000- as a result of its efforts.
Initially the Minersville SD appealed the valuations on 30 properties, withdrew 3, lost (that is, drew a “no change” verdict) on 16 but still won 112 of its cases.
Highest increase in the Minersville appeals went to a property with a listed market value of only $7,720 that sold in the past year for $58,060. The purchaser will see a 652% increase in the property’s taxable value.
Next highest increase in the Minersville cases went to a property valued on the county records at $32,000 that was purchased in the past year for $66,850.
In all, for its efforts, the Minersville School District raised its total taxable property value by $119,750.
Among the Minersville “horrible” examples were the following:
• Listed Market Value, $7,720, sold for $58,060
• Listed Market Value, $32,390, sold for $66,850.
Mahanoy Files 62, Withdraws 25
Conditions were somewhat the same in the case of the Mahanoy Area School District cases where 62 appeals were filed initially, 25 withdrawn without explanation, one lost, leaving a total of 36 appeals of which 17 fell in the “over 100% increase” bracket, 10 were in the 75-99% increase range, 9 were in the 50-74% bracket, and the rest saw property assessment increases of under 50%.
Mahanoy’s “horrible” examples included the following:
• Listed Market Value, $11,000, sold for $87,860 (a 699% increase)
• Listed Market Value, $4,090, sold for $15,280
• Listed Market Value, $4,820, sold for $16,420
• Listed Market Value, $5,000, sold for $15,280
The estimated increase in the Mahanoy Districts total valuation as a result of last week’s hearings is approximately $368,000,
The appeals, which began on Sept. 4 and have been held almost daily since then, are scheduled to continue until Oct. 31. Currently being heard are appeals involving “Average Joes,” the “in-house” term given to appeals involving “ordinary” citizens rather than school districts, but the Appeals Board is also scheduled to hear four more days of “old” Blue Mt. School District cases which the BMSD attempted unsuccessfully to schedule last year. Those cases never reached the hearing stage last year due to a filing error by the school district.
The school district assessment appeals are part of a statewide phenomenon triggered by a relatively new legal provision that allows municipalities – townships, boroughs, cities, and school districts – to appeal property assessments based on real estate purchases conducted in the past twelve months. Although the other “municipalities” have rarely taken advantage of the opportunity, school districts across the state have been encouraged to take advantage of the new process.
In Schuylkill County, thus far only the Tri-Valley, Panther Valley and Hazleton Area districts have declined to join the appeals parade. In the latter two cases, both districts cross county lines which somewhat complicates the tax picture.
--------------------------------------------------------------------------------------------------------------------
Erica Ramus is Broker/Owner of Realty Executives in Pottsville, PA.
If you're looking for a PROFESSIONAL to represent you in all of your Schuylkill County real estate needs, call Realty Executives at 570-622-6006.
We can meet all your buying / selling needs ... and will exceed your expectations. That's what being an EXECUTIVE is all about
Serving all of Schuylkill County ... Pottsville, Orwigsburg, Schuylkill Haven, Auburn, Pine Grove, Frackville, Minersville, Ashland, Shenandoah, Port Carbon, Palo Alto, St. Clair, Barnesville real estate. Click on the link above to search Pottsville PA homes for sale or any Schuylkill County homes for sale. We have all properties listed for sale in the Schuylkill MLS on our website -- free search!
We also operate Schuylkill Appraisal Services, for all your appraisal needs.
