From the Spring, 2011, Wayne Township Newsletter
Michael E. Musson, C.I.A.O., MPA
(630) 231-8900 Fax: (630) 231-9534
My staff and I are working on the 2011 General Assessment, which will be completed in the Fall of 2011. All property owners will receive a General Assessment notice. In a General Assessment year, each neighborhood is thoroughly reviewed. Overall, assessments will be reduced by almost 7%; however, some areas may receive greater reductions than others based on the 2008-2010 sales within each neighborhood.
During the past few years assessments have not declined as rapidly as many homeowners have expected, because assessments each year are determined based on the previous three years of sales, resulting in more moderate changes even when sale prices increase or decrease rapidly. After the 2011 General Assessment is completed, many assessments will be as low as they were in 2004 or 2005.
It is also important to remember that while assessments are declining, this will not cause a reduction in the overall level of taxation. If taxing bodies do not reduce their spending, tax rates will increase to match the reductions in value, guaranteeing the same revenues for the taxing bodies. Most taxing bodies continue to increase their spending each year, so taxes may continue to increase even though values are decreasing.
I have posted a Youtube video on this website further explains the impact of the market downturn on assessments and property taxes.