TYLER, Texas (KETK) – It’s property tax season, and homeowners around East Texas may have got the not-so-good news in their mailboxes recently. Many East Texans have seen a property tax increase and officials have blamed it is because of supply and demand.
Many owners were shocked and dismayed like Scott Ellis of Tyler.
“My hope is that it doesn’t affect me a great deal because I have my exemptions and I’m over 65, but rental properties affect you greatly,” said Ellis.
East Texans have been taking to social media platforms like Facebook and the Nexstdoor app to complain.
“There ought to be a limit to some of those things,” said Ellis.
Ellis owns several rental properties as well as his own home that all saw a high increase. The biggest question he brought up was “why?”
“The rules are there,” said Bill Jackson, Henderson County Chief Appraiser. “We have to be at market value or our schools will out of compliant with the comp property tax division and if you’re out of compliant with your schools then your schools will lose state funding.”
Jackson said more people are moving from bigger, more expensive cities to less expensive communities and have been creating a demand which in turn inflates property values.
“The more demand you have and no supply, the more it’s going to drive the price of properties up,” said Jackson. “My realtor friends here tell me they got plenty of buys they are just doing anything to sell. It’s an unusual situation for us right now state-wide,” said Jackson.
Another important factor is the tax rate.
“You do not owe any property taxes until local elected officials vote for and adopt a tax rate,” said Matt Schaefer, State Representative District 6.
Local elected officials will meet over the summer once all appraisals are set to decide on the tax rate.
“You pay more property taxes if the appraisal value goes up and the tax rates stay the same as they were last year,” added Schaefer. “You pay the same property taxes as last year if your appraisal value goes up but the tax rates are lowered to what is called the ‘no new revenue tax rate.'”
Those that would like to challenge the new valuation of their property, can appeal. East Texans and contact their county’s appraisal district, go before the appraised review board and prove their case.