The March 31st deadline to file property tax challenges with Ohio Boards of Revision (BOR) is rapidly approaching. In recent years, counties have imposed historically large property value increases. Now, many counties have set new tax values for the next three years. Winning your challenge generally ensures that any reduction will remain in place for the entire three-year period, resulting in year-over-year tax savings.
Ohio Counties’ Appraisal Cycles
Ohio counties are on a six-year appraisal cycle. Each County Auditor reappraises every property countywide once every six years and conducts a market-based value update at the three-year midpoint.
Massive Property Value Increases
Despite legislative attempts to the contrary, property values, and by extension property taxes, seem to only keep increasing, and this past year was no exception. Most counties who underwent full reappraisals saw significant increases in property values. Of the major counties that were reappraised, Clark County values jumped an average of 32% with Fairfield and Medina Counties also seeing large increases across property classes.
Commercial Properties
Commercial office space continues to be the worst performing sector, particularly in Central Ohio. It is on pace for another difficult year with low demand and high vacancies. Increases to property tax values for office space are likely unwarranted and should be closely examined.
Other commercial properties are also beginning to feel economic pressure. Coming off the post-pandemic industrial boom, many industrial property owners outside of Central Ohio may find themselves staring down large property values despite higher vacancies and growing requests for rent concessions.
Locking in a Reduction at the Board of Revision
Thanks to House Bill 126, passed in 2022, any reduction you receive at the BOR should not be challenged by the school district. The law generally takes away school districts’ rights to appeal a BOR decision to the Ohio Board of Tax Appeals (BTA). Generally, this means the school district’s only chance to sustain a higher value is at the BOR. This provides taxpayers with an opportunity to present strong evidence of a lower value to the BOR, achieve a reduction, and conclude the complaint process efficiently.
In contrast, taxpayers still have the right to appeal an unfavorable decision to the BTA in Columbus or at the local common pleas court.
Now is the time to evaluate potential valuation challenges before the March 31 filing deadline.
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