Many homeowners on Oahu have been shocked recently by the increase in their property tax bills. Higher home prices and inflation worries have already caused a considerable amount of stress for residents of Oahu. But while paying taxes is inevitable, there are several strategies that you can use to reduce your property tax bill. Here’s what you need to do if you want to save money on your Oahu property taxes.
Understand your property assessment
Before you can save money on your property taxes, it is important to understand how your property assessment is calculated. The amount of property taxes you pay is based on the assessed value of your property, so it is essential to make sure that your property is accurately assessed. You can request a copy of your property assessment from the City and County of Honolulu Real Property Assessment Division.
Challenge your property assessment
If you believe that your property assessment is inaccurate or too high, you can challenge it. The process of challenging your property assessment involves making an appeal to the Board of Review of the City and County of Honolulu or to the Tax Appeal Court of the State of Hawaii. You will need to provide evidence that supports your case, such as recent sales of comparable properties in your area.
Apply for exemptions
There are several exemptions available to property owners on Oahu that can help reduce your property tax bill. For example, homeowners who are 65 years of age or older may be eligible for a homeowner’s exemption, which provides a $140,000 reduction in the assessed value of their property. There are also exemptions available for veterans, disabled individuals, and other eligible property owners.
Hold off on upgrades
Assessors follow guidelines when evaluating the value of your Oahu home. But their job is somewhat subjective. This can mean that if your home is more attractive or you’ve made recent upgrades, then you’ll probably get assessed at a higher value. If your assessor will be visiting your home soon to evaluate your property, then hold off on those upgrades you may have been planning. This can include enhancements to your curb appeal or simple cosmetic upgrades to your interiors. Wait to make these changes until after the assessor’s visit.
Know your neighborhood
You may also be able to save on your property taxes by researching current trends in your neighborhood. Look for homes that are comparable to yours in both size and amenities. If any of those homes have a lower assessed value than yours, you should bring it to the attention of the assessor.
Stay up-to-date on property tax changes
Finally, keeping up-to-date on changes to property tax laws and regulations can help you understand how these changes may affect your property tax bill. You can stay informed by reading the City and County of Honolulu’s website, attending meetings of the Real Property Assessment Appeal Board, and speaking with a property tax consultant.
Contact Keller Williams Honolulu today!
Navigating the Oahu real estate market can be stressful. It pays to have an expert on your side. If you’re ready to buy or sell an Oahu home, then contact Keller Williams Honolulu at 808-596-2888 or [email protected] and browse our recent home listings. Our team is standing by to answer all your questions. Contact us today!