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More Montclair Lawsuits?

Wednesday, February 13, 2008

As if one lawsuit against Montclair township isn't enough, resident Jim Pond, feeling the tax asssessment sting now, more than ever, thinks there's cause for another. From The Montclair Times:

The town of Montclair is in a sorry state. As taxes skyrocket, services plummet. The latest opportunity for the town to dip into our pockets has arisen in the form of new property evaluations.

Excessive increases in many cases are compelling good neighbors to sell and move. When they list their homes however, their dilemma becomes three-fold.

First, they find their homes are not worth near what they have been assessed for.

Second, the subsequent increased taxes make a sale even more difficult.

Third, the increased taxes force mortgage companies to double the escrow deposits, effectively tripling one's monthly obligation overnight, leveling additional and unwarranted stress.


Many of those I have spoken with who have appealed their assessments have had success. Nonetheless, that was not without expense. It might be time to supplement the appeals process with a class-action suit naming the individuals that brought this about.

Taking the town to court doesn't compel anyone in town government to do the right thing. Naming them individually would get their attention.

There are 15,000-plus homes in Montclair. If each home spent $100 on a legal fund to save 10 times that on their taxes, that money would be well spent. That would be quite a coffer from which to hire real representation.

It’s just an idea. Maybe one whose time has come.

Anyone interested could respond with a letter to the editor. If the response warrants real initiative, I will take out an ad listing a time, place, etc. to meet.

JIM POND
Montclair

Posted by Annette Batson on February 13, 2008 1:18 PM
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Let me see. We'd sue individual local politicians for facilitating a property revaluation mandated by state law?

Good luck with that. As for me I can think of a lot better ways to waste $100.

Posted by ROC | February 13, 2008 1:22 PM
 

If each home spent $100 on a legal fund to save 10 times that on their taxes, that money would be well spent.

This guy must be a genius if he's figured out a way to make all of our taxes go down at once. We need somebody like this as mayor--somebody who is willing to take responsibility and make the tough choices.

Posted by walleroo | February 13, 2008 1:24 PM
 

If you think your assessment is too high, do some research. If you confirm it is too high, file an appeal with the county. It is possible to represent yourself pro se. It is very easy to get sales comps for free from realtors. There are also several online resources to check assessment and sales data.

With a little initiative and a valid complaint it is possible to successfully appeal your assessment for very little out of pocket expense.

Now I say valid complaint, because you can't get your assessment reduced simply because you think your taxes are too high. You can only successfully appeal if your assessment is higher than the fair market value of your home. Not everyone in town is overassessed. There are plenty of $1M+ homes in this town that got sweetheart assessments of several hundred thousand dollars less than their homes have sold for in the past year. Their tax breaks are being financed by the rest of us who are paying higher property taxes because of it.

Posted by NJGator | February 13, 2008 1:33 PM
 

Why stop at property taxes? Why not start a nationwide class-action lawsuit against the Feds for imposing income taxes? If we collect $100 from each of 300 million Americans, we'd have a gigunda pile of money to give to laywers!

Posted by walleroo | February 13, 2008 1:33 PM
 

" Why not start a nationwide class-action lawsuit against the Feds for imposing income taxes?"

Not "the Feds" silly. You'd name the secretary of the treasury personally.

Brilliant!

Posted by ROC | February 13, 2008 1:38 PM
 

I hear John Edwards is free.

Posted by profwilliams | February 13, 2008 3:39 PM
 

My assesment is in the mid $500s and my neighbors house, of the exact same size is languishing on the market for the sales price of $399k. One more house like this in my neighborhood and Im calling my lawyer to start the process.
The re-assesment was flawed. Shit data in = shit data out.

Posted by jimmy229oz | February 13, 2008 4:22 PM
 

fyi,

You'll need completed sales (comps) to challenge.

Posted by ROC | February 13, 2008 4:26 PM
 

can you believe that the website that is printed on the back of the taxcard www.eesextaxboard.com is not working? "if you disagee go to this website and download the forms you need for filing an appeal" It should read - "we are sorry - the whole system is broken and can't help you"

Posted by robbeyond | February 13, 2008 5:04 PM
 

ROC,
Thanks for the heads up, but if this house isnt selling at $399K now, I cant imagine a bidding war nor a bid of $550k.

Posted by jimmy229oz | February 13, 2008 5:49 PM
 

Here's a link to the appeal forms:

http://www.state.nj.us/treasury/taxation/pdf/other_forms/lpt/petappl.pdf

Posted by NJGator | February 13, 2008 5:52 PM
 

NJGator posted about "sweetheart assessments" for larger homes. What is the motive for this on the part of the assessors? I'm confused. What is implied?

Posted by ilovemydoggy | February 13, 2008 6:09 PM
 

File your appeal with the State rather than Essex County. Appraisers hate to have to drive to Trenton to fight their case and Essex County, well we know that they want your tax dollars to spend. You might want to obtain some recent comps, there's many recent sold listings in Montclair especially over $1,000,000 sales that sold $200,000 to $300,000 below their recent assessed value. Bring the compariables into your town tax assessor to see if the town will make the adjustment based on the recent comps, rather than litigate.

Posted by James R. Matarazzo Jr. | February 13, 2008 6:24 PM
 

jimmy, get a realtor to give you some comps in the area of houses similar to yours. Also you can go down to city hall and check out area sales.


Posted by ROC | February 13, 2008 6:29 PM
 

As a realtor associate, it is my professional opinion that towns like Caldwell, Montclair, Essex Fells, and North Caldwell, were appraised at the peak of the real estate market. Because of the existing economic conditions, negative compression of real estate values, and unforeseen market rates there will probably be a need to reassess the recent values for each of these towns. "James R. Matarazzo Jr., Realtor Associate-John Young Realty/GMAC"

Posted by James R. Matarazzo Jr. | February 13, 2008 6:45 PM
 

You can't appeal directly with the state unless you are assessed for over $750,000. However, if you are assessed that high, it's cheaper to file with the state tax court - it only cost my husband and I $35 to file there this year.

As for motivation of the assessors with the sweetheart assessments, I don't know of any ulterior motive. I just think they did a relatively bad job...particularly with assessing the value of home improvements. I think if your property was unimproved, there's a fair chance you got screwed during the reval process.

If you do a cursory check of the Baristanet real estate sales and compare them to the assessments online at http://tax1.co.monmouth.nj.us/cgi-bin/prc6.cgi?menu=index&ms_user=monm&passwd=data&district=1301&mode=11 you can see who got a good deal from ASI.

Posted by NJGator | February 13, 2008 8:41 PM
 

This county by county tax rate table might be good to compare where we are in relation to the rest of the state.

http://www.state.nj.us/treasury/taxation/index.html?lpt/taxrate.htm~mainFrame

 
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