Tax Appeals for Real Estate
Tax appeal fees (2009)
Tom Goebel is qualified in the State of Michigan to appeal real estate taxes. Real property is broken down into two categories. Residential which are all houses of 2 or less units. Commercial which is Industrial, retail, vacant land or multifamily 3 or more units.
Residential rate is $450 flat fee.
Retainer of $125 for the “analysis” is taken to see if the effort will be worth the while should we win the argument. If the recommendation is to go forward than the balance of $325 will be due to go forward with the file.*
Commercial is a lot more work, skill and requires a great deal more knowledge and experience. Also the stakes are usually higher with a lot more tax dollars to be lost or gained.
Commercial rate is 1 years tax savings paid 50% the current and 50% next years savings but not less than $900.
Retainer of $250 for “analysis” is taking to see if the effort will have bang for the buck. If the recommendation is to go forward then the minimum balance of $700 is due should you want to go forward with the file.
Assuming on the commercial appeals that more than $900 is gained in tax savings then the 50% savings are paid upon receipt of each tax bill to client with the $900 being applied to the last bill due. Generally tax bills are July 1 and December 1 each year. Therefore the March Tax appeals generally are known to save money by the summer tax bill. The $900 prepaid, non refundable retainer will therefore be applied to the last tax bill December of the following year.
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* Residential tax appeals are not availble in Detroit or any other municipality that requires an extra step in the process. At last count only 4 communities in Michigan require the pre board of review meeting with the assessor. Special rates may be negotiated for special circumstances such as the City of Detroit but will likely revert to the $125 hourly rate of service.