More Assessing Inconsistencies - 28 Wood Street
Let’s take a look a 28 Wood St. The owner began a process of renovating and updating the property in 2014-15. The property record card (PRC) was updated and a new assessment figure is assigned. The addition permit is closed in September 2016 and taxed in 2016. The patio(s) are taxed in 2017. The manner in which the card is updated will illustrate how sold and unsold properties are being treated differently and how assessor end up “sales chasing.”
Accessing the permit file is not possible with City Hall closed, but the Assessor notes in the comment section of the PRC, that 1 patio and a deck are added and taxed in 2017. A single garage is removed, along with an open porch and a shed. Added to the home is a double car garage with an unfinished upper story, along with a ½ bath and the kitchen is upgraded. These improvements are inspected in the fall and taxed in 2016.
Not noted in the comments section is that ~750 sq. ft. of additional living space is added to the main house. There is a gazebo added to the back corner of the property and a second patio which are not on the card. The home is centrally air-conditioned (A/C) which is also, not on the card. This home no longer has front brick façade. This is missed as well. These can be seen using the GIS system on the City website. Also, a vent pipe is in the roof of the 2017 pictures which would indicate a bathroom has been added to the “unfinished” area.
Note: Ordinarily, I would go into City Hall and pull the property file in order to double check the status, but that is not an option now, so I am using the GIS picture and measuring tools to make an estimate. Great tools! https://newgis.nashuanh.gov/NashuaNH/ipa.php?address=28%20WOOD%20ST%20%20%20%20,NASHUA%20NH%2003064-1927
So if I can see all these using publicly accessible tools, how did the Assessor miss so much data if they visited the property? Let’s first see what the Assessor did.
The assessment value is raised in 2016 by $55,000 meant to compensate the City for a 50% increase in finished living space, a converted single garage to a double garage, unfinished above the garage and a new ½ bath, A/C, and upgraded kitchen and added finished first and second floor space. The increase seems quite low, yet I’m sure there’s room to argue over time. But that’s not the real kicker here. The unadjusted built date and property condition are.
The Assessor did not change the year built from 1964 to a more current year to reflect the new construction and upgrades to the property. As a result of this, all of these new improvements and upgrades are assessed as if they are more than 50 years old. This newly expanded and updated home should also have had the physical condition changed. This did not happened and the home stayed with a “fair” condition.
So why is this unfair? What’s the big deal? As the building is currently assessed as more than 50 years old and fair condition, this lowers the assessment by $80-$100K. There is something fishy about this process where properties go unadjusted for years until they sell. So, in this case, when the home is sold, the next buyer is paying the premium; and the previous owner responsible who has been living in the home has underpaid for 3 years.
So, stayed tuned, this property is now on the market https://www.zillow.com/homedetails/28-Wood-St-Nashua-NH-03064/74309959_zpid/. It is currently assessed for $340,600 and is now listed for $600,000. Why is there such a huge disparity? Because the assessor “missed” upgrades in the home and did not change the depreciation and condition, keeping the assessment artificially low.
As a good reference point and to further illustrate how renovations are not being assessed fairly, the house next door to this property is for sale and under contract. https://www.zillow.com/homedetails/26-Wood-St-Nashua-NH-03064/74309961_zpid/? This illustrates how permits are not being captured when the work is done. The “true” assessment happens when the house is sold, and the assessor uses the sales price to correct the assessment.
This is why there is no equity and fairness in Nashua assessments. I will be writing about sales chasing and provide more details in future posts. Is your property assessed fairly?
