365体育投注The Park Rapids Board of Appeal and Equalization voted in favor of two appeals regarding property valuation in the city.
365体育投注The board, comprising members of the city council and Mayor Ryan Leckner, met April 9 via conference call due to COVID-19 social distancing guidelines.
Hubbard County Assessor Ginger Buitenwerf reported that property owner David Sanders of Colorado Springs, Colo. built a home at 500 Eastern Ave. S. that has been occupied by a renter since it was completed.
Buitenwerf said the county classified the property as seasonal, but Sanders has asked to change it to rental.
365体育投注City Assessor Loren Tolkkinen said the contractor on the home build told the city Sanders was going to use it as a seasonal property. After hearing from Sanders about his request, Tolkkinen verified that the home is on the city’s list of rental properties. So, he recommended changing the classification to “residential non-homestead” for the 2020 assessment.
Board member Tom Conway moved to approve Tolkkinen’s recommendation. The motion passed by a unanimous roll-call vote.
Buitenwerf also reported a request by David Martens, who purchased a property in August 2019 – a triangular bare lot on U.S. Hwy. 71, just north of where it intersects with Main Ave. N. – for $10,000.
“He doesn’t feel that the $14,000 assessment accurately reflects the market,” Buitenwerf said. “So, he is appealing the value.”
365体育投注Tolkkinen said Martens bought the bare lot and the adjacent home at the corner of Park Ave. and Main Ave. from separate parties.
After analyzing comparable bare lot sales, Tolkkinen’s staff found eight sales during the past assessment period where the median assessed value was 117 percent of what the properties actually sold for. Out of 15 bare lot sales during the last three years, the assessed values ran at 95 percent of sale prices.
Further, Tolkkinen said nine of the bare lot sales in the last three years were in the northeast part of town, where market values ran at approximately 91 percent of sale prices. Meanwhile, the six bare lot sales in the rest of the city had a median sales ratio of about 148 percent.
“I’m not sure why we’re a lot closer in that northeast part of town and we’re high in the rest of the city,” he said. “I guess that northeast part of town is the place that people want to be.”
Based on this information, Tolkkinen recommended asking the County Board of Appeal and Equalization to make a blanket adjustment on bare lots in the city, excluding the northeast area, reducing their assessed value by 20 percent. The county board of appeal meets in June.
Conway moved to approve Tolkkinen’s recommendation. The motion passed unanimously.
365体育投注Tolkkinen said he was also contacted by Theresa Lunski, owner of 904 E. Cutler St., who was considering appealing her value but apparently decided not to go forward with an appeal.
Asked to explain her concern, Tolkkinen said Lunski bought the property in March 2018 for $67,000 but the 2019 estimated market value was assessed at $94,300, going up to $99,600 this year.
Tolkkinen explained that the property was purchased at an estate sale and it was put on the market in August 2017, outside the “prime selling season.” When that happens, he said, “quite typically, (properties) don’t command the same money that they would if they had listed that during the prime selling season.”
Based on several comparable sales in that time range, Tolkkinen said Lunski’s property could be valued between $94,500 and $112,300 – an average of $106,100.
365体育投注“I feel we’re well within actual market value on her property,” Tolkkinen concluded. “I don’t feel any changes are necessary. I think Theresa got a very good buy on her home.”