There’s a rumor that’s been floating around for years: the appraisal district doesn’t have access to sales data when determining your property’s tax-assessed value.
Let’s clear that up. It’s not true.
In Lamar County, Texas, the appraisal district does use recent sales data to help determine property values. Not only do we regularly see properties jump to nearly the exact sales price the year after they sell, but I’ve also seen the data firsthand. I’ve reviewed comps straight from the appraisal district with line items labeled “recent sales price.” That’s not speculation. That’s direct evidence that sales data is used in determining property tax values.
What does this mean for you as a buyer?
If you’re working with a buyers agent and you're looking at a property that’s currently significantly undervalued on the appraisal district rolls, and yes, that happens a lot in Lamar County, you should expect your property taxes to increase sharply after purchase. The district watches for sales, especially when they close well above assessed value, and it often adjusts the value the following year.
Once you've just bought the home, it’s going to be hard to challenge the new tax-assessed value because your own purchase price is the clearest comp available.
What sellers should know
If you’re a homeowner considering listing your property, talk to a sellers agent who understands how the appraisal district might value your home differently than the actual market. The district tends to react after sales. So if you’ve owned your home for a while, your tax-assessed value might be much lower than your true market value.
Another common misconception
Another rumor I hear is that the appraisal district’s value is always equal to the home’s true value on the open market. That is also false, especially in Lamar County. While the district is fairly good at matching market value shortly after a sale, it often struggles to keep up in the meantime.
This can actually be a benefit to longtime homeowners. The tax-assessed value may be much lower than what the home could sell for today.
Bottom line
Whether you're working with a buyers agent to purchase your next home or a sellers agent to price your property correctly, don’t put too much weight into the appraisal district value. It is just one data point, and it often lags behind.
Real estate professionals in Lamar County don’t rely heavily on the appraisal district when evaluating property. The most accurate pricing always comes from local, up-to-date comparative market analysis (CMA) prepared by someone who knows the area.
There are a lot of misconceptions when it comes to real estate and property taxes. I love helping people understand what’s actually going on behind the scenes. If you have questions or are preparing for a purchase, sale, or even a protest of your tax value, feel free to reach out.
Leah Rolen with Keller Williams
📞 469-744-5309
