The 2009/2010 fiscal year valuations for taxable property are complete.  Our total assessed value for Nevada County topped 16.8 Billion. The assessed values for this year were close to 1% over last year. This growth is attributable to changes in ownership, new construction, and the inflation rate built into Proposition 13. With a 2% inflation factor and an overall growth of around 1%, you can do the math and see that we actually went backwards.

The marginal growth was mainly due to the overall slow real estate market, and also because of the many value reductions due to market conditions. For this fiscal year, properties that were identified as transferring at the recent peak of the market were reduced to reflect the decline.  All said and done this resulted in reviewing approximately 7,500 residential properties.  As the real estate market goes through its normal cycle, and values again rise, these properties will be restored to their original Proposition 13 value. 

Many of us remember the decline in property values during the early 1990’s and also remember it took about 7 years to reach the bottom and start recovering.  This time around the picture does not look quite the same.  We’re probably close to the bottom of the market already, but exactly how long it will take to put supply and demand back in balance and start recovering will remain a mystery for now. 

As always, we will be available to ensure that your property is valued in an accurate and fair manner.  If you ever have questions regarding your property assessment feel free to contact us.