San Rafael, CA – The Marin County Office of the Assessor-Recorder-County Clerk (ARCC) announced the timely certification and delivery of the annual assessment roll of $89.38 billion for the 2021-2022 fiscal year. The roll increased by nearly $3.3 billion (3.95%) over the prior year to an all-time high in total net value.
The annual property assessment roll generates the property tax revenue that is used to fund education, first responders, front-line healthcare workers, criminal justice, welfare, transportation, and many other city and county government services.
At this time of COVID-19 impacts, market data demonstrates a high demand for residential housing. The County housing market has been robust due to low interest rates, scarce inventory, and strong demand. The high demand for residential properties in Marin resulted in an increase in the median home prices for both detached and attached homes. This has also come with 4.9% increase in the number of home sales from the previous year.
Assessed value in California for most properties, are based on the lower of two values: The Proposition 13 value or the market value, as of January 1st. The Proposition 13 value is based on the market value of property when it was acquired, plus new construction (if applicable) and adjusted for inflation by no more than 2% per year. The 2% is based on the Consumer Price Index (CPI). By using the lower of these two values, property owners are provided tax relief during times of increasing and decreasing property values. Commercial property value is also monitored as businesses in the commercial sector continue to recover from the pandemic. For the 2021-22 assessment year the CPI adjustment is slightly more than 1% at 1.036%.
In addition to the tax increase protections afforded by Prop 13, some properties also qualify for one of many tax savings programs. For example, homeowners can apply for a $7,000 reduction to the assessed value if they own and occupy the property as their principal place of residence. There are several other tax savings programs for disabled veterans, hospitals, churches, colleges, museums, and non-profit organizations. This year, over $2.9 billion was exempted from the roll.
Marin County property owners are being mailed notices this week if their assessed value has changed as of January 1, 2021. This could be due to a change in ownership, new construction, restoration of Prop. 8 value, or other activities. These notices help taxpayers review their taxable values and follow-up with the Assessor before tax bills are issued in the fall. Like last year, property owners will not receive a value notice if their 2021 Taxable Value is equal to their last year’s Prop. 13 value plus the Consumer Price Index (1.036% this year).
Assessor’s staff are available to respond to requests for informal assessment reviews beginning in July. The request for Informal Assessment Review form will be available on the Assessor’s website on July 1 and will require applicants to provide comparable sales, their opinion of value and a signature. The deadline to file an Informal Assessment Review form is November 1, 2021.
The ARCC’s dedicated staff has supported Marin residents throughout the pandemic, efficiently expediting services over the phone, online, and via email. As the County adjusts, the Assessor’s staff requests that residents continue to use those forms of communication as much as possible.