Many Cochrane homeowners were in for a shock last month when they received their property assessments in the mail, as the average residential single-family assessment value rose by 13.21 per cent.
Although per cent and figures vary for each resident, the same sentiment of frustration was felt by many residents.
In an email from the Town of Cochrane communications advisor, Phoebe Guertin, the increase was due to strong sales and market demand with the assessments prepared using the market conditions as of July 1, 2022.
The assessment process is governed by the Municipal Government Act and prepared on an annual basis via a mass appraisal. A property’s assessment value is reflected by its market value as of July 1 and physical condition of Dec. 31 of the previous year. It is an estimate of market value and does not represent a site-specific appraisal value.
“Mass appraisal is the process of valuing a group of similar properties as of a given date using standard methods, common data, and allowing for statistical value to determine an estimate of value,” Guertin explained.
“The annual calculation is used to distribute property taxes fairly and equitable amongst the property owners.”
Cochrane resident Bob Eaman said he could hardly believe it when he checked his assessment and saw his property assessment increase was 17.4 per cent this year. Having an assessment increase above the average, he is unsure how exactly he feels about the increase.
“I was kind of shocked, honestly,“ Eaman said. “I have a very small condo apartment and that was a pretty big increase.
“I don’t know why it would be so high above the average, …maybe the fact I live in a little more central location than some other neighbourhoods.”
Another Cochrane resident, Candice Gallant, said her assessment value increased by over $80,000, meaning she’ll pay $500 more this year in property taxes than in 2022.
“It’s high, and I mean housing is high in general,” Gallant said. “I can kind of see the correlation, but it’s kind of hard when my taxes are an additional $500 more than what they were last year.”
Like many others who have taken their thoughts online, Gallant said she shared the same sense of discontent.
“I think it’s crazy,” Gallant said. “I don’t know how people are going to be able to pay a lot of their taxes when your taxes are $4,500.”
Devon Tupper said she did not check her assessment yet and was unaware of the increase. She acknowledges that if the increase is needed, then all residents should pay their fair share.
“In fairness to the Town, I think I’d have to look at everything and not just comment blindly,” Tupper said. “I could be angry because it’s going to be money in my pocket, but maybe I need to understand why.”
Coun. Marni Fedeyko said she believes anytime it is tax season and people receive their property assessments, it brings up discussions about what impact it may have on residents’ taxes.
Fedeyko said there’s a lot of misunderstanding that comes along with property assessments.
“People just think, ‘My assessment has gone up by 13 per cent, property tax is going up four per cent, all of a sudden I’m paying 17 per cent,’ and it really does not work that way,” she said.
“You have to look at it overall and the mill rate that eases out the portion of the pie you are paying.”
Every year in council, Fedeyko said the same conversation on how to properly inform residents about how taxation works is brought forward and discussed.
“I get that people are upset,” Fedeyko said. “I don’t want to pay more taxes and I live here too.”
Another topic of concern Fedeyko noticed is residents who doubt that they can sell their property for what it was assessed at. From what she has seen over the last year as a real estate agent, she said home sellers shouldn’t be concerned.
“We look at assessment values of the year before,” she said. “You’re looking at what your house was worth as of July 1, 2022. It’s not about what you can get for it today, and there is no agent out there that will look at an assessment value and go, ‘This is what your house is worth.’ It doesn’t work that way.”
Fedeyko said although there are misconceptions, she is aware of the genuine fears residents have about rising costs, and stated she is committed to helping those who have questions.
“As a councillor, all I can do is hope to explain it and have people understand it,” Fedeyko said. “But if you’re not hearing what I am trying to say, you are going to make up your own mind anyways.”
Additional information regarding assessment information, which includes an informational video, property search portal, and property viewer map, can be found online at cochrane.ca/assessment.
For residents who have any questions or concerns about their assessment, they are encouraged to call the Town of Cochrane’s assessment department at 403-851-2950 or by emailing [email protected]. formal complaints can also be submitted by visiting cochrane.ca/133/Assessment-Complaints.
