A residential homes life is considered to be 100 years. At some point during those 100 years, the local assessor should begin applying a deprecation factor when assessing the property. https://www.tax.ny.gov/pit/property/learn/howassess.htm
In general, the assessed value tends to be lower than the appraisal fair market value of property. https://www.investopedia.com/terms/a/assessedvalue.asp
To review the Illinois Residential Assessment Practices visit the following site. http://www.revenue.state.il.us/localgovernment/propertytax/PTAX-1-A.pdf
Illinois property taxes are calculated on 1/3rd of the assessed amount. If your home is assessed at a “market value” of $150,000 your assessed amount is $50,000 in which you are taxed minus any exemptions you qualify for. https://co.sangamon.il.us/departments/s-z/supervisor-of-assessments/exemptions
For more information regarding property taxes in Illinois visit https://www.shermanforum.com/main-forum-page/city-spending-taxes/high-taxes
So what are homes selling for in the Sherman, IL area? See the area home sales data below from 2016-2018. It is important to know what a home is assessed at when considering a purchase. https://tax.co.sangamon.il.us/SangamonCountyWeb/app/searchByParcelNumber.action
If the home is assessed at a “market value” higher than the price you have agreed to pay for the property, then you need to file an assessment complaint with the County to have the assessed amount reduced. https://co.sangamon.il.us/departments/s-z/supervisor-of-assessments/assessment-complaint-form
There is no better time to file an assessment complaint than just after purchasing a home for less than the assessed amount or soon after having a property apprised.
Since Illinois assessors no longer visit a property or neighborhood to reassess, assessments can get over inflated over the years with constant multipliers being applied year after year increasing the assessed amount.
Between annual assessment changes from township multipliers being applied and tax rate changes each year, property taxes increase more often than decrease. https://www.sangamoncountyclerk.com/Taxes/ListofAssessors.aspx
Fancy Creek Assessor Williams Township
Stacey Vincent (term 2017-2021) Jason LeMar (term 2017-2021)
6627 Mitts Road P.O. Box 1036
Springfield, IL 62707 Pawnee, IL 62558
(217) 971-5622 (217) 588-8741
Homes between 1000-1999 square feet accounted for the most homes sold from 2016-2018.
Homes between 2000-2999 square feet were the next highest number of homes that were sold during the same time frame.
Homes between 3000-3999 square feet accounted for the third highest number of homes sold in the area.
Homes between 4000-4999 square feet were the fourth highest number of homes sold.
Homes between 5000-5999 square feet were next.
Homes between 6000 square feet and larger accounted for the least number of homes sold in the area.
The data below is broken down by square feet of homes. Notice how many of the older homes are assessed at a “market value” higher than what the homes last sold for. It is more common for older homes to be over assessed than newer homes.
Most of the data groupings below include the home that sold for the least, the home that sold for the most and the largest home that sold in each grouping.
Age/Location/Neighborhood matters along with the square footage of a home. Older homes in general sell for less than newer homes of similar size. Older homes have older wiring and plumbing, little to no insulation, do not include an open floor plan and many have open attics. Truss construction changed over the years as did many other building code requirements.
To increase the value of an older home and get the most when selling, updates and improvements are a must. Two main things that sell a home are kitchens and bathrooms; however, these can also be the most expensive rooms to update.
Do your homework when considering the purchase of a new home so you don't find yourself surprised by the cost of the high taxes or other high cost of living associated with the purchase of your new home. You can also contact the utility company ahead of time to find out what the average cost of utilities are.