In the State of Georgia, all real estate properties are appraised at their fair market values (i.e., the estimate of the market value of a property based on the amount that a knowledgeable, willing and unpressured buyer will likely pay to an equally knowledgeable, willing and unpressured seller). In this regard, the DeKalb County tax assessor – or more appropriately, Board of Assessors – is responsible for the calculation of the appraised and assessed values of the real properties within its jurisdiction.
Use of Computerized System
While the calculation of fair market values on real property is both a science and an art as there are aspects that involve subjective judgment, the DeKalb authorities particularly the Property Appraisal Department uses a computerized system for its appraisal job. Known as the computer assisted mass appraisal (CAMA) system, it stores data for real estate properties and calculate their values for assessment purposes; the system is also used for the same purpose for marine, business personal property, and aircraft.
The DeKalb County tax assessments obviously start with market data. The CAMA system processes the market data inputted into it and then calculates the appraised values using the three approaches, namely, cost, income and market. Such is the importance of data that appraisers and assessors including their authorized contractors conduct annual market analysis to determine changes in the market as these affect property values.
The CAMA system stores all the relevant data about properties, which include the factors that affect property valuation. The data includes the following:
- Zoning information
- Building characteristics (i.e., an appraiser will visit your property for this purpose)
- Existing use and limits to its use for the property
- Existing contracts including conservation use easements and restrictions in the deed for particular uses
- Sales data including type of sales, deed date, and sales price
- Building permit information including amount, date issued, and type of work
- Mapping data including new subdivisions, changes in dimension, and zoning
The DeKalb County tax assessors will consider all possible existing factors in determining the fair market value and assessed value of your home. Keep in mind that you can object to the appraised values but within the limited 45-day period from the date of annual notice of assessment.
Use of an Objective Approach
With the use of the CAMA system, the process of determining the fair market value of any property is largely an objective approach. Such objectivity is reinforced by the use of formulas in the computation although the formula for each of the three approaches is different.
For example, in the cost approach, the DeKalb County tax assessors will use the following formula:
Replacement cost assuming that the structure will be replaced with a new building
Less: Accrued depreciation
Add: Miscellaneous improvements
Value of the land
Equals Appraised Value
After the changes have been recorded, the sales ratio studies have been completed, and the real estate property tax returns have been reviewed, the DeKalb County tax appraisers will present their current year proposed values to the Board of Tax Assessors. Annual Notice of Assessments will then be sent soon after.
