Conroe ISD, Woodlands Township show drop in average home value

Montgomery County Average Home Values Montgomery County Average Home Values Photo: Montgomery Central Appraisal District Photo: Montgomery Central Appraisal District Image 1 of / 1 Caption Close Conroe ISD, Woodlands Township show drop in average home value 1 / 1 Back to Gallery

The average home values in Montgomery County continue to grow, but two of the largest taxing entities show a decrease in appraisals for 2017.

According to information from the Montgomery Central Appraisal District, the Conroe Independent School District and The Woodlands Township experienced drops in the average home appraisals. For CISD, the value dropped from $296,236 to $295,802, while The Woodlands Township average home appraisal went from $439,696 to $427,264.

Other governmental entities, including Montgomery County, the school districts in Montgomery, Cleveland, Magnolia, New Caney, Richards, Splendora, Tomball and Willis, as well as the cities of Conroe, Magnolia, Montgomery and Willis had an increase in average appraisals.

MCAD appraisal values are used to determine the amount of taxes a homeowner pays when multiplied by the tax rate of a taxing entity after any exemptions are applied. Today marks the deadline for Montgomery County property owners to file protests on their 2017 appraisals.

MCAD Chief Appraiser Mark Castleshouldt said the protest process is important because appraisers don't know the specifics on each home including situations that would lower the value such as a cracked slab.

"About 65 percent of the people that (protest) get some type of adjustment in value," said Castleshouldt, adding if they don't get an adjustment they believe they should get, they have the option to go before the Appraisal Review Board. "A lot of people take advantage of that, a lot of people don't."

Home appraisals

According to Castleshouldt, the Texas Property Tax Code requires appraisal districts to follow the Uniform Standard of Professional Appraisal Practice.

The USPAP is the generally recognized ethical and performance standards for the appraisal profession in the United States, the USPAP site states. USPAP was adopted by Congress in 1989, and contains standards for all types of appraisal services, including real estate, personal property, business and mass appraisal. Compliance is required for state-licensed and state-certified appraisers involved in federally related real estate transactions. USPAP is updated every two years so that appraisers have the information they need to deliver unbiased and thoughtful opinions of value.

Beginning in August, county appraisers begin the valuation process of properties in the county, including residential, commercial, industrial and timber.

"We have appraisers that work different areas of the county," he said. "All appraisals are done using the mass appraisal technique."

The mass appraisal approach, the USPAP defines, provides for a systematic approach and uniform application of appraisal methods and techniques to obtain estimates of value that allow for statistical review and analysis of results.

Castleshouldt encourages property owners to check the data on the MCAD site each year in case there is a mistake affecting the property value.

"Property owners have rights and remedies," he said. "You have the right to come and protest."

Finding the average value

Average home values, according to MCAD Deputy Chief Appraiser Tony Belinoski, is a data point that is utilized by taxing units during the development of tax rates to give property owners an example of taxes that will be levied on the average home.

The average home value is the average value of all residential properties with an active homestead exemption, he said.

"This data point can change for various reasons, changes in the number of active homestead exemptions, changes in valuations throughout the appeals season, the ratio of high value homes versus lower valued homes," Belinoski said.

Although this data point is not specific it can give an indication of the overall change in the market of residential properties within a specific market area," Belinoski said.

For example, an area that is comprised almost completely of existing homes, no new construction to influence the data, and a relatively static number of homesteads, the average home value will indicate the influence of market transactions on values in that area, he explained. The other scenario is an area of some existing homes and a large number of newly constructed homes. If the new homes are of a higher value than those homes previously constructed this data point will rise based on the newly constructed homes but it also indicates that the market in the area is for higher valued homes.

This would be the opposite if the newly constructed homes were of a lower value.

This data point is not one the district relies on heavily as the average home value for an entire taxing unit will encompass market changes in drastically different areas. Some areas of Conroe ISD may have increased and others decreased.

Average home value, Belinoski said, is a very broad data point which can indicate the overall market of residential properties within a taxing unit.

For more information, visit www.mcad-tx.org.