Conroe officials address homeowner concerns regarding assessed real estate value

CONROE, TX -- Conroe officials address homeowner concerns regarding assessed real estate value notices Higher real estate values are leading to significant increase in annual property assessments.

Recently released property value projections from the Montgomery Central Appraisal District have homeowners in Conroe looking for answers.

With demand for new and resale residential housing soaring, home prices are up significantly throughout Montgomery County. That is pushing up the cost of home ownership as property taxes are anticipated to rise as well.

“Property taxes and the appraisal process are the domain of the Montgomery Central Appraisal District,” said Mayor Jody Czajkoski. “Our city staff is getting a lot of calls on the increased valuations in the new appraisal notices, but there’s very little we can do other than refer residents to the appraisal district.”

Taxes for residential homeowners are calculated based on a formula that includes the assessed value of the property, tax entities, and allowable exemptions. Taxing units include Montgomery County, Conroe Independent School District, Lone Star College, Montgomery County Hospital District, City of Conroe and others. Each authorized unit sets its own tax rate before ad valorem tax bills are sent out in October of each year.

“The City of Conroe tax rate has changed little since the 1990s,” said Paul Virgadamo, City Administrator. “The funds generated by ad valorem taxes go to the general fund, supporting Police, Fire Department and Public Works.”

The tax rate for the City of Conroe, for example, is $.4375 per $100 of assessed value. Without exemptions, a property valued at $200,000 would be looking at an ad valorem tax bill of $875. If that same property were projected to have increased in value to $300,000, under the same circumstances, the city portion of the property tax would increase to over $1,312.

However, there are exemptions that homeowners can qualify for which will reduce the net property value – and the ultimate tax liability – by specific amounts. These include exemptions for homestead, senior citizens, handicapped individuals, and surviving spouses of service members or first responders killed in the line of duty.

“And by having a valid homestead exemption, the total taxable value of the property cannot exceed 10 percent higher than the previous year,” said Conroe Assistant City Administrator/CFO, Steve Williams. “It’s important for homeowners to make sure the appraisal district has accurate, up to date information so they take advantage of all rightful exemptions.”

Rates for all taxing entities have yet to be determined for the coming year, according to Virgadamo. He anticipates the City of Conroe, like other groups, will finalize their tax rates by September in advance of final tax bills being sent out in October.

Property owners also have the right to protest the appraisal given their property, by writing, online or in person challenges. For more information on property tax issues visit the Montgomery Central Appraisal District at www.mcad-tx.org or call 936- 539–7897.