Notice of Assessed Value
Notice of Assessed Value
An official Notice of Assessed Value (NAV) is sent to the taxpayer of record by the county assessor annually to notify taxpayers of the assessed value. The NAV is typically mailed in July of each calendar year. The assessed values represent market value as of the January 1 lien date. This notice is not a tax bill and does not require payment. The property’s assessed value is used to determine the property taxes for the upcoming year.
If you would like to receive your Notice of Assessed Value in a language other than English, please complete our online request form that can be found here.
How to File an Informal Review
If you have reason to believe that the market value of your property as of January 1 in a given year is less than the amount shown on your Notice of Assessed Value and you have factual evidence to support a lowered assessment, you can request an informal review by a staff appraiser by contacting our office between January 1 and March 31 by calling 3-1-1 or emailing firstname.lastname@example.org. Requesting an informal review does not preclude you from filing a formal appeal with the Assessment Appeals Board.
How to Appeal your Assessed Value
If you disagree with the assessed value or our information review, you may file a formal “Application for Changed Assessment” with the Assessment Appeals Board, an independently appointed review board. Application information can be obtained from the Clerk of the Assessment Appeals Board, City Hall – Room 405, 1 Dr. Carlton B. Goodlett Place, San Francisco, CA 94102, phone (415) 554-6778 or www.sfgov.org/aab. Assessment appeals may be filed from July 2 to September 15 with the Assessment Appeals Board.
I received a Notification of Assessed Value in the mail. What is this letter and do I need to take any action?
This is an informational letter to notify you of your property’s Net Assessed Value. The assessed value, minus exemptions, is the basis for your annual property tax bill. The tax bill typically covers the fiscal year starting July 1 and ending June 30, with payments due in December and April.
You do not need to take any action unless you believe the market value of your property as of January 1 was less than the assessed value. If this is the case, an assessment appeal application must be filed with the Assessment Appeals Board (www.sfbos.org). These applications must be submitted between July 2 and September 15. Online applications are strongly encouraged
The Adjusted Value (or Proposition 13 value) shown on my letter does not appear to take into consideration my recent purchase price or the added value of my new construction.
Please pay your property tax bill as issued by the Office of the Treasurer & Tax Collector. When our office processes your sale or new construction, we will issue a supplemental assessment notice, which will notify you of the difference between the adjusted value (Proposition 13 value) and your purchase price or the market value of your new construction. You will then receive a supplemental tax bill from the Office of the Treasurer & Tax Collector to cover that difference in value.
If you no longer own the property indicated on the attached Notification of Assessed Value as of June 30, please disregard the notice. If you sold the property after June 30, you may still receive a tax bill with the portion you are responsible for during your ownership between July 1 - June 30.
The valuation of your property is governed by the State Constitution, the State Revenue and Tax Code, and rules spelled out by the State Board of Equalization. Two significant propositions that impact your assessed value are:
Proposition 13 (1978) – Sets a base year assessment that cannot be increased by more than 2% or the inflation rate of the California Consumer Price Index, whichever is less. The Proposition 13 adjusted value acts like a cap; it is the highest value at which your property can be assessed. If the property changes ownership, a new base year value is set. Note that if there is new construction activity on your property, state law allows the Assessor to value that new construction, which may result in an increased property assessment.
Proposition 8 (1978) – Provides a one-year reduction in assessed value when property suffers a decline in value. A decline in value occurs when the current market value of the property is less than the current Proposition 13 value as of January 1.
Usually, the factored base year value, minus eligible exemptions, is the net assessed value which is the basis for your property taxes. Your net assessed value is not the amount you owe in property tax. Actually, your property taxes are generally calculated by taking the property’s net assessed value multiplied by the yearly tax rate. Please note, you will receive your tax bill by November 1 of each calendar year from the Office of the Treasurer & Tax Collector. For additional information, please visit www.sftreasurer.org.
If you own and occupy your property as your primary residence, you may be eligible for a Homeowners’ Exemption. You are allowed only one Homeowners’ Exemption in the State of California. The Homeowners’ Exemption is a $7,000 deduction from the assessed value of your property. If you are eligible and do not see an exemption amount listed in the exemption box on your Notification of Assessed Value letter, please download and return to our office a Homeowners’ Exemption Claim form from our website at www.sfassessor.org.
Example: Using a 1.1743% tax rate, if the assessed value of a property is $700,000, the property taxes on the property without a Homeowners’ Exemption will be approximately $8,218 ($700,000 x 0.01174). The Homeowners’ Exemption reduces the assessed value of the property to $693,000 ($700,000 - $7,000) and so the taxes with the Homeowner’s Exemption will be approximately $8,136 ($693,000 x 0.01174). This saves approximately $82.00 on annual property taxes.