Frequently Asked Questions

Questions regarding your TRIM NOTICE? E-mail us at:  trim@leepa.org

WHAT IS MARKET VALUE?

HOW IS PROPERTY APPRAISED?

The property’s fair market value can be determined employing one or more of three different methods.

The first method is to find properties like yours which have recently sold. However, their selling prices must be analyzed very carefully to get the true picture. One property may have sold for more than it was really worth because the buyer was in a hurry to occupy it and would pay any price to get in. Another may have sold for less than it was really worth because the owner needed cash right away, so was willing to sell to the first buyer making an offer. The Property Appraiser must always consider such over or under sales price to arrive at a fair valuation of your property.

The second method is based on how much money it would take, at current material and labor costs, to replace your property with one just like it. If any improvements are not new, the amount of depreciation must also be determined.

The final method is used in addition to the other two if you own property which does, or could, provide an income, such as an apartment complex, retail store space, or office building. In that case, the Property Appraiser must consider such dollar facts as your revenues, operating expenses, insurance, maintenance costs, degree of financial risk incurred by owning the property, and finally, the return most people would expect to receive on that kind of property.
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WHY DOES APPRAISED VALUE CHANGE FROM YEAR TO YEAR?
When the market value changes, naturally so does appraised (just) value. For instance, if you were to increase the total market value of your property by building a swimming pool in your backyard, the appraised value will increase proportionately. Similarly, should your property’s value be decreased by fire or storm damage, the appraised value will decrease to reflect the downward effect on your property’s market value. In addition, the entire community’s economy, as well as the forces of supply and demand, will affect your property’s appraised value.

The Property Appraiser does not create this value: he simply discovers it as it exists and values the property accordingly. Buyers and sellers set value by their transactions in the market place.
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WHAT IF I DISAGREE WITH THE PROPERTY APPRAISER’S MARKET VALUE?
The Florida Constitution and Statutes require that we make appraisals at market value.  Annually in August, the Property Appraiser sends the Notice of Proposed Property Taxes (TRIM Notice) to all property owners.  Read this Notice carefully – important information is provided regarding the time frame allowed for filing appeals with the Value Adjustment Board should you wish to dispute the value of your property.  If you agree that the value of your property is at least as much as shown in the notice, you do not have to do anything. However, if you have any questions about this value, we encourage you to contact this Office to discuss values with the property analyst familiar with your parcel.   Please be sure to verify your homestead exemption status as it is reflected on the TRIM Notice.  If you have any questions, you must contact the Appraiser’s Office immediately to insure that you receive your exemption for the tax year.

If, after contacting us, you still believe that the appraisal exceeds the market value of the property, you may file a petition before the Value Adjustment Board ( VAB ). This Board is created by State Law and is comprised of three members of the Lee County Commission and two Members of the School Board. Petitions to the Board are available from the Property Appraiser’s Office. The Board appoints Special Masters, who are qualified real estate appraisers or attorneys, independent of the Property Appraiser’s Office, to conduct valuation hearings The Special Masters are appointed only to determine is whether the appraised value of the property exceeds its market value as of January 1. Further details concerning this process can be obtained from the Property Appraiser’s Office or on the TRIM Notice.
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WHAT IS "SAVE OUR HOMES"?
"Save Our Homes" is a constitutional benefit approved by Florida voters in 1992 which places a limitation of 3% on annual assessment increases on Homestead properties. For all property granted Homestead Exemption in the prior year, that assessed value will be the base value for the implementation of "Save Our Homes". Thereafter, the assessed value will not increase more than 3% or the percentage change in the Consumer Price Index, whichever is less.

Exceptions to that limitation include new additions or construction which escaped taxation in the past. Another exception would occur when a homestead property sells: the assessed value returns to the fair market value in the year following the sale. That fair market value assessment then becomes the base value for "Save Our Homes" purposes for the new owner/homestead applicant .
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DOES THE PROPERTY APPRAISER LEVY OR COLLECT TAXES?
No!! The Property Appraiser only appraises property and is neither a Taxing Authority nor the Tax Collector and has nothing to do with the amount of taxes levied or collected. However, as a property owner, you are also interested in how the amount of taxes you pay is determined.

Three separate government entities each having unique and distinct duties involved in producing your November tax bill. First, the Property Appraiser annually appraises all property in Lee County at the market value as of January 1. Next, each taxing authority within Lee County sets their own millage rate based on the amount of tax dollars necessary to fund their annual budget. Lastly, the Tax Collector takes the amount of taxes due in order to bill and collect all taxes levied within Lee County .

Calculating the amount of taxes due is done by the Property Appraiser prior to sending the information to the Tax Collector.

Below is an example using an average home value of $100,000 with a $25,000 Homestead Exemption:

The millage rate is multiplied by the value of the property then divided by 1,000 to determine the amount of taxes. The reason: "millage rates" are in dollars per thousand of assessed value. You may also note that certain districts marked with an asterisk do not deduct the Homestead Exemption value prior to calculating the amount of taxes due. These districts are authorized by Florida Statute to use assessed value without exemptions in their tax calculations.

The example shown above shows the calculation for ad valorem taxes only. However, there are several districts in Lee County that levy non ad valorem assessments for the benefit of the residents in those districts. These assessments are not required to be shown on the Notice of Proposed Taxes but will appear on your final tax bill .
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WHAT IS AN "AG" CLASSIFICATION?
An agricultural classification is the designation of land by the Property Appraiser, pursuant to F.S. 193.461, in which the assessment is based on agricultural use value.

HOW DO I QUALIFY?
To qualify for Agricultural classification, a return must be filed with the Property Appraiser between January 1 and March 1 of the tax year. Only lands which are used for bona fide agricultural purposes shall be classified agricultural. "Bona Fide Agricultural Purposes" means good faith commercial agricultural use of the land.
The Property Appraiser, prior to classifying such lands, may require the taxpayer or the taxpayer’s representative to furnish such information as may reasonably be required to establish such lands are actually used for a bona fide agricultural purpose.
The Property Appraiser may deny agricultural classification to the following lands:

• Lands which are not being used for or diverted from agricultural use
• Land that has been zoned non-agricultural at the request of the owner
• Land on which a sub-division plat is recorded
• Land which is purchased for a price three or more times the agricultural appraisal placed on the land