In The Sunday Business Post today:
Confused about how to value your home for the property tax? The Sunday Business Post assesses the Revenue’s price guide, and offers some advice.
This week saw the launch of the Local Property Tax, or LPT, valuation guide on the Revenue Commissioners website, and the arrival of the first letters to many of the 1.8 million home owners who are liable for the tax.
In order to use the Revenue website to help with the valuation process, home owners must input their county and area, followed by the type of property (apartment, bungalow, terraced, semi-detached or detached) and whether the home was constructed before or after the year 2000. There is no provision for the size or number of bedrooms. Owners will then open an interactive map, which shows the band values, within a range of €50,000, for their property type in that prescribed area. The site carries some small print that is crucial to home owners struggling to self-assess the value of their property: “If you follow this guidance honestly and if the guidance is indicating a reasonable valuation for your property, Revenue will accept your assessment” – the implication being, if it is not reasonable, then determine the value in a different way.
From the time the website went live, on-line forums lit up with a torrent of questions, objections and farcical examples of how the valuations were outrageously wrong. Exceptional properties, easily identified by their celebrity occupants, were put forward as reason why this model of valuation cannot work. However, as people started to research their own homes, a trend started to emerge.
First reactions to the mapping tool on the Revenue website appeared on-line with hours, as follows:
• “Seems relatively accurate. If anything, Revenue prices are on the conservative side in my area.”
• “Used it to value our house yesterday. I feel it is too wide a brush for the job. People may undervalue & regret later”
• “Bang on for country but way off for Dublin flats. SCD 2 beds in the 3-450 bracket. Asking 250 – selling for less.”
• “Bang on for most houses for sale in this area at the moment it seems and spot on for actual sale prices achieved last year”
• “Seems about right for my area”