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Board of Appeal and Equalization handoutsSherburne County Assessor Sherburne County Government Center 13880 Business Center Dr NW Elk River, M7V55330-1692 Phone: (763)765-4900 FAX' (763)765-4905 2018 ELK RIVER CITY ASSESSMENT Spring Mini Report Residential and Seasonal values increased in overall market value by approximately 9.6%. value increases are the result The property of 404 sales In the City- and 1,381 sales County -wide. Assessment Years Sales Study Ratio Overall Change 2014 208 sales 84.6% x 1.077 = 91.11% adjusted ratio 2015 292 sales 85.9% x 1.061 = 91.14% adjusted ratio 2016 386 sales 89.3% x 1.041 = 92.93% adjusted ratio 2017 346 sales 88.4% x 1.057 = 93.43% adjusted ratio 2018 404 sales 85.8% x 1.096 = 94.04% adjusted ratio Agricultural Values increased county -wide by approximately 1 % Apartment values increased 1.65% in Elk River. There were 2 new apartment projects started in the city. There was only 1 sale. Commercial and Industrial values combined increased 1.17% in the City. There were 17 sales county- wide. Total Taxable New Construction Assessment Years 2014 $ 20,085,400 2015 $ 17,354,782 2016 $ 28,093,805 2017 $ 18,842,026 2018 $ 32,528,500 Total City Estimated Market Values Taxable Real Property Assessment Years 2014 $ 1,838,493,300 2015 $ 1,927,795,700 2016 $ 2,009,030,900 2017 $2,119,094,900 2018 $ 2,313,310,000 4a& q[a<<g Elk River Local Board of Appeal and Equalization April 9, 2018 6:00 pm Elk River Year End Summary — 2018 Assessment Re -Assessment Beth and Krista re -assessed 1,598 single family properties. Beth, Krista and Greg re -assessed 318 townhome and condominium properties. There were a total of 1,916 residential properties re -assessed during 2017. This number meets our goal of re -assessing 20% of all residential properties each year. Letters were sent to re -assessment areas to inform the homeowners that their property would be re -assessed. Drawings were updated, new photos taken, and inspections of homes were completed. Depreciation was applied to buildings as necessary. Value was added for all improvements that were not currently listed on the assessment. Permits There were 113 permits issued for new single family homes and townhomes. There were an additional 283 permits issued for improvements to properties such as additions, decks and basement finish. Improvements were measured, photos taken, and inspections were completed. Residential Statistics New Homes Improvement Permits Good Sales Bad Sales Total Sales Avg Sale Price Avg Assessed Value Beginning Sales Ratio Ending Sales Ratio Change Overall State Time Adjustment Apartment Sales 2017 113 283 404 147 551 $253,824 $233,396 85.8% 94.04% +9.6% 7.74% 1 (24 unit) 2016 63 244 346 136 553 $224,856 $210,771 88.4% 93.4% +5.7% 5.19% 3 (4, 6, 80 unit) 2015 74 203 386 108 494 $219,375 $204,140 89.3% 93.7% +4.92% 4.7% 3 (4, 24, 30 unit) Sales Ratio Studies Sales ratio studies compare the Assessor's Estimated Market Value to the sales price of the property. Sales from October 1, 2016 to September 30, 2017 were used to determine the Estimated Market Value for the January 2, 2018 Assessment. The Minnesota Department of Revenue requires the Assessor to maintain a ratio of 90% to 105%. The sales ratio for the 2018 assessment is 93.4%. Residential Sales There were a total of 551 residential sales in Elk River that occurred between October 1, 2016 and September 30, 2017. Of that number, 404 sales were considered `good' sales that were included in the Department of Revenue Sales study for the 2018 assessment. The average sale price was $253,824 with an average assessed value of $233,396. There were an additional 147 `bad' sales that were not used. These were rejected for such reasons as foreclosuresibank sales, sales to relatives, and relocations. Vacant Land/Lot Sales There were 43 vacant land/lot sale transactions in 2017. This included 5 large transactions of land for new plats (River Park Meadows, Miske Meadows & Miske Meadows 2nd addition) and 30 sales of single family platted lots with an average sale price of $58,713. Residential Building Changes Increases were made to raise the level of assessment. The house and garage building schedule was increased by an average of 9%. The study showed that split level homes were undervalued and an additional 3% was added to the schedule for those building types. Residential Land Changes Land values on existing homes were increased 7.5% to the base rates. Rural Vacant Land: Base rates are unchanged, $4100 to $4500 per acre. Ag Building Changes Ag house and garage increases followed the residential building schedule. Apartments The overall change for apartments was an increase of 1.65%. 2018 City of Elk River krdc)a-� Local Board of Appeal and Equalization q �� l I D April 9, 2018 l The 2018 methodology utilizes agricultural sales within a region to develop a tillable and non - tillable value to be used for Green Acres in that area. Our Green Acres Region includes the Counties of Anoka, Chisago, Isanti and Sherburne. The Department of Revenue issued a memo which indicated that the average per acre value for tillable land was to be $3,200 (down from $3,300 in 2017) and the average for non -tillable was to be $1900 (no change from 2017). Township Averages as P.eported to the Department of Revenue for the 2018 Assessment 2018 Estimated Market Values 2a Tillable 4200/ac 2a/2b Pasture 4100/ac -Same values have been applied to CRP land Waste 750/ac Wetlands 750/ac 20.18 Green Acres Values 2a Tillable 3200/ac 2a Pasture 2200/ac Waste 750/ac -Same values have been applied to CRP land Apartment Review 2018 Assessment Apartment values increased by an average of 1.91 %. There was 3 county -wide sales used in the study. Assessment Years 2014 2 sales 2015 6 sales 2016 5 sales 2017 3 sales 2018 3 sales Area Becker Big Lake Clear Lake Elk River Zimmerman Total EMV $ 20,379,300 $ 33,251,700 $ 1,621,800 $ 85,042,700 $ 12,130,000 New Imp $ 2,119,100 $ 4,034,700 $ 30,000 Total Taxable New Construction 2014 $ 243,200 2015 $ 2,290,800 2016 $ 4,460,200 2017 $ 1,642,100 2018 $ 6,183,800 Overall Change 3.0% 2.3% 1.5% 6.9% 1.9% Net Diff 1.11% 2.10% 1.77% 2.14% 1.30% Ratio 88.2% 95.1% 95.8% 96.2% 98.9% 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment WALTER W& NANCY ULLRICH 19531 ELGIN ST NW ELK RIVER MN 55330 P.I.D. 75-671-0430 Description: Lot 6 Block 4 Windsor Oak Hill Physical Address: 1 (q531 E[9a 1 5r The taxpayer contacted the Assessor's Office concerning the value of his property. The property is .74 acres with a house and 3 car attached garage. Based on a review of the property the following change is recommended. 75-671-0430 2018 Original 2018 Recommended Change Land $ 64,000 $ 64,000 Improvements $ 370,800 $ 351,200 Total $ 434,800 $ 415,200 Decrease of $ 19,600 1 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment RICHARD W & SUSAN J KURTH 19650 IRONTON CIRCLE ELK RIVER MN 55330 P.I.D. 75-690-0118 Description: Lot 9 Block 1 Windsor Oak Hill Second Addition Physical Address: 19650 Ironton Cir NW The taxpayer contacted the Assessor's Office concerning the value of his property. The property is .36 acres with a house and 4+ car attached garage with 558 sq ft of living space above garage. Based on a review of the property the following change is recommended. 75-690-0118 2018 Original 2018 Recommended Change Land $ 64,000 $ 64,000 Improvements $ 334,300 $ 320,800 Total $ 398,300 $ 384,800 Decrease of S 13,500 1 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment RONALD & SHERRI K SCHRECKENGHAUST 13273 179 1/2 AVE NW ELK RIVER MN 55330 P.I.D. 75-546-0254 Description: Lot 27 Block 2 Heritage Landing Physical Address: 13273 179 % Ave NW The taxpayer contacted the Assessor's Office concerning the value of his property. The property is .34 acres with a house and 3 car attached garage. Based on a review of the property the following change is recommended. 75-546-0254 2018 Original 2018 Recommended Change Land $ 50,400 $ 50,400 Improvements $ 264,200 $ 251,000 Total $ 314,600 $ 301,400 Decrease of $ 13,200 1 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment WILLIE JACKSON 20855 LANDER CT NW ELK RIVER MN 55330 P.I.D. 75-673-0120 Description: Lot 4 Block 1 Physical Address: 20855 Lander Ct NW The taxpayer contacted the Assessor's Office concerning the value of her property. The property is .45 acres with a house and 3 car attached garage. Based on a review of the property the following change is recommended. 75-673-0120 2018 Original 2018 Recommended Change Land $ 63,300 $ 63,300 Improvements $ 361,000 $ 374,600 Total $ 424,300 $ 437,900 Increase of $ 13,600 1 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment RICHARD A & NANCY BRUNELL 14331 189TH ST ELK RIVER MN 55330 P.I.D. 75-131-2225 Description: Unplatted, Section 31 Physical Address: 14331 189`h Ln NW The taxpayer contacted the Assessor's Office concerning the value of her property. The property is 11.33 acres with a house and 3 car attached garage. Based on a review of the property the following change is recommended. 75-131-2225 2018 Original 2018 Recommended Change Land $ 124,600 $ 94,200 Improvements $ 388,700 $ 387,100 Total $ 513,300 $ 481,300 Decrease of $ 32,000 1 2018 Elk River Board of Appeal and Equalization April 9, 2018 Recommendations from the County Assessor For Changes to the 2018 Assessment ROBERT A & REBECCA M HANSON 22372 TIPTON ST NW ELK RIVER MN 55330 P.I.D. 75-672-0545 Description: Lot 9 Block 5 The Ridges of Rice Lake Physical Address: 22372 Tipton St NW The taxpayer contacted the Assessor's Office concerning the value of her property. The property is .70 acres with a house and 3 car attached garage. Based on a review of the property the following change is recommended. 75-672-0545 2018 Original Land $ 63,300 Improvements $ 318,600 Total $ 381,900 Decrease of $12,600 2018 Recommended Change $ 63,300 $ 306,000 $ 369,300