House Values Rising In Dallas, Which Means Higher Taxes

Real estate specialists say housing supply is simply not meeting demand.

Video Transcript

- If you own a home in Dallas, odds are the value of that house rose in the past year. But that value has a cost as well. And it's called your estimated tax bill. Our Steve Pickett looks at the appraisal reports so many are getting and why you'll likely be paying higher taxes.

STEVE PICKETT: $312,000, right now that is the median selling price for a home here in North Texas and a 19% increase in the selling price. That is according to Realtor Association Group MetroTex. For thousands of Dallas homeowners who are not selling, they, too, will likely see a cost increase attached to those rising market values of houses.

Estimated tax notices from the Dallas Central Appraisal District are already generating protest filings from homeowners, who are seeing the skyrocketing housing market push their home values and their property tax bills up 10% to 20% in some cases. Real estate specialists say housing supply is simply not meeting demand. So home values are increasing, which also means your property tax is as well.

TREY HOME: What's gone up, obviously, are the market values. They've gone up substantially here in the area. So now the valuations are coming out. We keep hearing from a lot of folks that are very surprised at their new valuation and, as a side effect, their new property tax bill.

CHERYL JORDAN: Whether they want to sell it or not, in Texas, we have to appraise it at what it could sell for. You know, you've got plenty of neighbors that are selling theirs. You have a lot of properties in that neighborhood that have sold. And, again, they're selling at more than the asking price. So it's not about-- for us, it's not about what you can afford. Unfortunately, we don't have that authority to address that. It's about what is the market value of that property.

STEVE PICKETT: Can you challenge that tax bill? Yes, you can. But the argument against that fight may be your next door neighbor who just sold his house for $400,000 or more. In Dallas, Steve Pickett, CBS11 News.