MSN Money has an article about property taxes that was an interesting read I wanted to share. Property taxes are a big source of revenue for your government and they are going to make sure to get theirs. Property values skyrocketed in the mid 00’s, but now they have tumbled with the current recession. What hasn’t tumbled, however, are your property taxes. In most places, they have actually increased, even though employment has ballooned and housing prices tumbled.

So, what can you do about it? Well, you can either agree with what you are assessed, or you can try the following:

1. Contact Your County Assessor: These guys set the prices, and you can file an appeal through them. Be warned you may have to take a day off and go to their office directly.
2. Know Your Neighbors: Keep track of the costs of houses selling in your area. Most counties have online search tools, or you can use other websites to help. Zillow is one that is useful in my neck of the woods. Having a list of similiar selling prices is great ammunition to fight the claimed value from the county.
3. Be Careful: It’s not out of the question that they come back and say the value is even higher. There is a difference between market value and property value. Assessments tend to be a little lower than what the selling price could be.

If you are feeling the pinch of government trying to squeeze an extra dollar (or more) out of you through your property taxes, take action! Don’t be afraid to challenge their estimates or go up against the tax man. Revenues are being lost and raising tax values on property is a very easy way for them make up those losses.