Swain County Tax Office is wrapping up a mass reappraisal for 2021. Property appraisers have been conducting research for the reappraisal over the past two years.
The last reappraisal was in 2013. The county contracted with Chris Ferriss, appraiser and tax consultant, who has over 20 years in the business and is also contracting with Cherokee and Graham for their reappraisals. There is also one person in the tax office whose job has been dedicated to the property revaluation process.
For the first time, the county was able to utilize software called Pictometry to help with the process. Ferriss explained it’s similar to Google earth but lower with excellent imaging quality, allowing the office to conduct a lot of work before having to put boots on the ground.
“With that technology, we were able to find building we never had before like cabins located in the woods,” he said. “For the most part, it was additions like decks, patios, out buildings. It also helped us recognize if the building was on the correct property record.”
With less time dedicated to being in the field, the program helped the county save money as well.
According to state law, the county must base the property taxes on the true market value of property in the county, thus the state requires those values be updated every 8 years at the least for small counties like Swain, although some counties have gone to 4 years.
Ferriss said the goal is to make it fair and equitable based on the market with values being redistributed according to areas of the county that may have grown faster.
“For the most part, people try to keep their homes up and they want it to appreciate over time,” he explained. “In my 25 years of experience, most people update their property every 10 years.”
Some of those common improvements might include updated HVAC systems, hot water heaters, new kitchens and additions like decks.
“So, you have those things where people continually update their homes because they respect their property,” Ferris continued. “As long as you maintain your home, it’s going to show up in the market.”
It’s also important for counties to have accurate data because when the tax values drop below 80 percent, state law allows utility companies to reduce their tax amount.
“A lot of people don’t know that with the state we have a ratio study that comes out every quarter that guides the department of revenue and how well it’s maintained once it falls under a certain value utility companies get to pay 80%,” he said.
Over the past 8 years, the real estate market has seen growth, and demand for Swain County property has been high although new construction has been limited.
According to Ferriss, there has been a lot of fluctuation over the past 8 years in the county with supply and demand impacting the market.
“We didn’t have enough inventory so that did increase the value of existing,” he said. “For an 8-year period, it wasn’t as bad as I thought it would be as far as a market increase.”
Considering the growth in property purchases in Swain County, many property owners, particularly those in areas of growth, are likely to see an increase in their property’s value and thus have that reflected in their taxes. In other areas where development hasn’t taken place, property owners are less likely to see an increase in property values.
“What we tried to do is break it down into market neighborhood or subdivision where ones sold and compare the ones that didn’t,” Ferriss explained. “We also look at property condition and those that haven’t been updated depreciate more.”
The county is finalizing its revaluation process and notices are beginning to be mailed out this week. With this first notice, property owners are encouraged to review the information and make sure it accurately reflects their property.
With just two appraisers overseeing it, Ferriss said they welcome feedback.
“Please be patient with us. We will correct it if it need to be,” he said. “Overall, that’s what we try to do is look at market in the neighborhood and use those sales in your neighborhood. We had some areas that really didn’t change much at all.”
Swain County Tax Officer Peggy Hyde said by email that countywide, the increase in value is approximately 20% with that applying more to the land in some places and the houses in other places.
“As for as an increase in the property tax, that is up to the commissioners,” she noted.
The county board of commissioners has kept the property tax rate unchanged over recent years, at 0.36 per $100. The revaluation is anticipated to increase the county’s budget, which operates on the fiscal year starting July 1. The commissioners can adopt the current tax rate when they adopt the budget, or if they so choose can increase or decrease that amount.
To view a copy of the 2021 Reappraisal Schedule of Values and Value Manual, visit swaincountync.gov/tax-office.html