Reassessment

The process of redetermining the value of a parcel of real estate for property tax purposes. A reassessment is done to determine the property tax bills. Property bills are based on both the assessed value of the property and the property tax rates. A reassessment usually causes an increase or decrease in a property owner's tax bill. Different jurisdictions have different processes for assessing real property. Some reassess values once a year, some do it once every two years and others do it only when the property changes owners. Property owners who disagree with the assessed value of their properties can request a reassessment.

Changes in tax rates, the addition of new taxes and an overall increase or decrease in real estate values because of market conditions can also affect the amount of a property tax bill. In some jurisdictions, the taxable value of a property will be less than its assessed value because of something called a homestead exemption, which provides a minor tax break for owner-occupants.