Consistent Property Taxes

Property taxes can be a high and unpredictable expense. Preservation Compact partners were instrumental in lowering assessment levels for multifamily rental properties, resulting in an average 15% property tax reduction.

The Preservation Compact has since encouraged owners to regularly appeal their property taxes and tap other resources to gain even more savings.

Activities

The Preservation Compact convened a working group to identify ways to make the property tax system more fair and consistent for rental buildings.

Appeals. Owners of affordable multifamily rental properties should appeal their property taxes. Estimates from a 2012-2013 analysis showed that assessed valuations dropped a median 26 percent for Chicago multifamily rental buildings that appealed their assessments.

The Assessor uses a market-based approach based on sales comparables to assess the value of a property. If an owner appeals, the Assessor can evaluate the income and expenses of the property and more accurately assess the value. The Preservation Compact created a guide to appeals for multifamily owners and created a list of consultants and attorneys who can help owners appeal.

Cook County Class 9 Property Alert!

It has come to our attention that some Class 9 properties have been changed to Class 3 status, which has SIGNIFICANTLY increased their assessed values – some values have doubled or tripled. According to the Assessor’s Office, this change occurred because owners did not submit appropriate annual affidavits in 2015 and/or 2016 and/or are missing new affidavits issued in October 2017.

If your Class 9 appeal was rejected, please follow these steps to file a complaint with the Board of Review. The window for filing a complaint is currently open for the townships below.

Deadline to file 1/31/18
  • Bloom
  • Hanover
  • Niles
  • Rich
  • Schaumburg

 

  • Find a detailed list of steps for regaining Class 9 status here, and materials from The Preservation Compact’s Class 9 Workshop here.