NEWS RELEASE
FOR IMMEDIATE RELEASE:
March 24, 2022
CONTACT: Mary Garness, Director of Public Records and Property Valuation
218-726-2675
Estimated Market Value notifications going out; home values rising significantly in tight real estate market
St. Louis County property owners will be receiving their annual Estimated Market Value (EMV) notification within the next several weeks, and many residents may be surprised to see how much their property's value has increased. The EMV notice provides details on a property's estimated market value - the price a property would sell for on the open market - as well as its classification.
Many homeowners will see their residential property value increase substantially due to a combination of factors, including the busiest real estate market throughout the County in 20 years. The increased demand for and short supply of residential property within the market has created a sellers' market, which means home values have increased. Additionally, steep costs of construction had a significant impact on the value of property. Historically low interest rates also contributed. These factors combined have resulted in home values increasing significantly throughout the County and region.
The extent of the value increase for homeowners will vary depending on several factors: location; improvements, neighborhood, and whether there is lake frontage. This situation is not unique to St. Louis County, as surrounding counties are also seeing upticks in property valuations for the same reasons.
Minnesota law requires that all property - including land, structures, and improvements - be valued at their market value. Market value for the 2022 assessment is determined as of January 2, 2022, and is used as basis for property taxes that will be due in 2023. The estimated market value is calculated in part using sales activity that took place between October 1, 2020, and September 30, 2021. Assessors don’t create value; they interpret what is happening in the marketplace.
The value and classification placed on each property by the assessors is later used to determine each property owner’s tax bill. An increase in valuation does not automatically mean an increase in property taxes. The EMV is used to calculate what percent of the total levy a property owner is responsible for. The county, as well as cities, townships, school districts and other jurisdictions with taxing authority do not finalize their 2023 levies and budgets until December. Though this significant increase in residential property values is expected to shift a higher share of the levy to homeowners versus to those owning commercial properties and other classifications.
The St. Louis County Assessor's Office has created a web page with answers to frequently asked questions. It can be found at stlouiscountymn.gov/assessor. Any property owners with questions specific to their valuation and classification notice should contact their assessor first. Contact information can be found at the bottom right of the front page of the notice or online at stlouiscountymn.gov/assessor. Issues can often be resolved at this level without the necessity to file an appeal.
The St. Louis County Assessor's Office is responsible for the equalization of assessments throughout St. Louis County. With a staff of approximately 50 people working out of six locations throughout the county, the Assessor's Office is responsible for all assessments county-wide, which include 261,096 parcels.
###
|
