1995 - 006982 - repair foundation

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• COST OF I PROS `jT S THE V LUE INCREASE TO THE PROPERTY V h, Although the cost of improvements may be substantial, the actual value added can be significantly less. This can be largel} attributed to three factors: • Often times, improvements made to a house, particularly an older house, constitute routine maintenance.and do not • cause the valuation to increase. Reshingling a roof, painting the house, repairing a foundation, replacing a plumbing fixture are all examples of.improvements that would not ordinarily result in a value increase. • Improvements made to an individual's home often times reflect that particular individual's personal likes or interests anc most times the cost cannot be recovered when a property is sold. Adding a sauna, a greenhouse or an indoor swimming pool would all be examples of improvements that typically add less value than their cost. • Improvements made to different areas of a house typically result in greater or lesser returns. It is a well established appraisal principal that remodeling or improving a house's service areas (kitchen, Iaundry and bathroom)will generally yield the greatest return to the owner. Expenditures such as finishing basements or attics will generally produce the smallest return. Although these considerations may vary from house to house and market to market, in almost no instance is it possible to receive a dollar for dollar return between cost and value added to the house. SALE OR TR NSEER OF OWNERSHIP OF PROPERTY Under the law, a property owner must disclose to prospective buyers whether any improvements made to a home are exempt from the property tax. Additionally, sellers are also required to notify buyers that the exemption will terminate when the property is sold. If you sell your property, only improvements made by the buyer after the closing date of the sale are eligible for the exemption. If the property loses its homestead status the exemption expires as of the next assessment date. If the name of one of the owners of the property is removed from the title to the property as a result of a separation or divorce, or if a name is added to the title of the property as a result of a marriage, the improvements continue to qualify for the exemption. If you transfer the title to the property to someone else,but retain a life estate in and continue to receive the homestead classification on the property, the improvements continue to qualify for the exemption. If you transfer title to a related person or persons as a gift or inheritance,the exemption expires as of the next assessment date. In general, as long as you,the owner of the homestead, made the improvements to the house, maintain the property as your principal residence and retain an ownership interest or control of the property, the improvements continue to qualify for the exemption. MAKING. PPLTC TIO I::. . ..::: . If You live in a city or town that requires building permits, you must obtain a building permit for construction of the improvement before the work commences. In addition you must complete a separate application for value exemption before the next assessment date. If you do not obtain a building permit before construction begins, the improvements are not eligible for exemption. If You live in a city or town that does not require building permits, you must make application for exemption before the improvernent is begun. The exemption may be applied to no more than three separate improvements made to the house and garage. All improvements listed on a single building permit or an application for the exemption constitute a single improvement In either case, if more than three separate improvements are planned you must choose which improvements you want to qualify for the exemption. Once an improvement has been designated for exemption, it cannot be repealed or replaced by a later improvement. If you need additional information, please contact your assessor's office.