Josh on MTV's Cribs!

[ocelot_ark]

I don't know how it works up in Dallas, but a coworker built a house in 2005. Obviously the assessed value was much lower in 2005 due to partial construction. In 2006 the value went up significantly but still wasn't close to what he paid. Even then he was able to sweet talk the appraisal district into lowering the number.

How does the city know what market value is in your scenario? The tax assessor doesn't know what you paid for the house, even if financed, unless you voluntarily supply that information. Correct? I'm honestly asking because I don't know. They sent me a form ASKING what I paid for my house but I'm of the opinion that this kind of information is my business only. In Josh's case I'm guessing he sent them a cost basis appraisal to keep his taxes LOWER, knowing a market value approach would show the true $.