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united-states refinance property-taxes appraisal

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March 27, 2025 Score: 2 Rep: 150,405 Quality: High Completeness: 30%

I understand that when you do it the other way, the bank's appraiser doesn't inform the tax assessor of their findings. But what about the reverse? Does the bank's appraiser use the findings from the tax assessor in their appraisal?

When a bank evaluates the value of the properties for either a new mortgage, refinancing, or a home-equity loan they are interested in current sales prices for similar properties. They want to know how much they can sell the house for if they have to quickly sell the house.

A government uses the tax appraisal process to determine how much the tax should be. In some cases the property is re-assessed every year, in other places every 3 years, and in other places the last reassessment was done decades ago.

Even if they re-calculate the value every year, the tax value may be unrelated to the actual sales price. Property tax laws can be funny.

I can't say that they don't look at the assessed value, but I have never seen a mortgage value set exactly to the tax appraisal. The biggest issue is the lag in the tax value can be 12 or more months. The lender wants to look at what is happening now; not what was happening more than a year ago.