Though, housing boom might have passed, property assessments have not been adjusted to reflect the current market conditions. In the financial world, they use the disclaimer "past performance is not an indicator of future results." But, assessment is entirely a different ball game. Assessors are using values (or formulas) that are not necessarily reflected current market conditions.
According to Washington Post, DC just has released their assessment. And guess what?! DC sets the trend to increased its assessments way up there, by 41%.
Property values in Congress Heights, an older community in Southeast Washington, have increased 41 percent, nearly double the city's average, an indication that the skyrocketing housing boom has crossed the Anacostia River.
The figures are contained in assessment notices that the D.C. Office of Tax and Revenue mailed Friday to more than 173,000 residential property owners. On average, assessments citywide will increase 21.8 percent, and even with legislative changes designed to limit property taxes, most homeowners are expected to pay slightly more when they are taxed on the new values next year.
Fairfax County follows DC in that order. I feel the pain.....
UPDATE: This is funny, the regulators also got hit big time with the new assessments. Fairfax Bosses Got Hit Big with Assessments. [DC Examiner]