Diane Richardson

Cell 403-397-3706 | diane@mypadcalgary.com

 
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City of Calgary Property Assessment

 What is property assessment?

 

The City of Calgary Assessment business unit estimates the market value of your property for the purpose of distributing fair and equitable taxation.

We are governed by the Municipal Government Act of the Province of Alberta. The estimated value we place on your property comes from the measurement, analysis and interpretation of the real estate market.

Property assessment is the estimated value of a property used for Municipal and Provincial taxation purposes. The formula used to determine your property tax is:

Property assessed value x Tax Rate = Your property tax levy.

July 01, 2011 valuation date

 

Your Property Assessment Notice reflects the estimated market value of your property based on the valuation date of July 01, 2011, as set by the Municipal Government Act. Real estate market conditions may change from the time of the valuation date to when you receive your 2011 assessment. Market changes that have occurred since July 01, 2011 will be reflected on your 2013 annual market value assessment, which will be mailed in January 2012. Your 2013 assessment will be based on a July 01, 2012 valuation date.

Mass appraisal

 

Mass appraisal is the process of valuing a group of properties as of a given date using standard methodology, employing common data and allowing for statistical testing. The process is based on mass appraisal models that are an expression of how supply and demand factors interact in the real estate market.

Residential property assessment

 

When we prepare residential assessments, we will analyze market activity for similar properties in similar area that have sold during the same timeframe.  Through analyzing properties that have sold, we are able to provide market value assessments to both the sold properties and those properties that didn't sell.  This is called the sales comparison approach to valuation.

Multi-residential property assessment

 

For multi-residential property assessments we use the income approach to valuation – capitalize the income being generated by the property.

Non-residential property assessment

 

In determining non-residential assessments, we use one of three approaches to value, depending on the type of non-residential property:

  • Sales comparison approach – sales of similar properties.
  • Income approach – capitalize the income being generated by the property.
  • Cost approach – market value of land plus the depreciated replacement cost of the improvement.
     

    How property assessment relates to taxes

     

    Property assessment

     

    Market value is the most probable price that a property would sell for on the open market on a given date. An assessor reviews and measures the real estate market to establish typical market value. 

    For more information about the property assessment process please view:

    Your 2012 property assessment 

     

    Council decides what budget The City needs in the coming year. Then, using the total city-wide assessed property base, Council sets the tax rate to bring in only the funds it needs from property tax.
    Tax rate = City budgetary needs
                       ÷
                   Total assessed value of Calgary properties

    Your assessment is the market value of your property.
    Assessment = market value

    If Council approves a tax increase, your May tax levy will increase from the revenue neutral tax amount shown on your 2012 Property Assessment Notice by the same percentage as the increase in tax rates between 2011 and 2012 (subject also to changes in the provincial property tax rate).

    Your share is then calculated by applying the tax rate to your assessment.
    Individual share of tax = assessment x tax rate

    What your property taxes support

     

    Your property taxes support the delivery of key City services that ensure our vibrant, healthy city and great communities, and are the primary source of funding for The City’s operating budget. City services include transportation and transit, police and fire protection, land use planning and policy, advancing social policy, recreation, waste removal, parks and many others. Almost half of all residential property taxes (44 per cent in 2011) collected by The City are sent to the Province of Alberta to meet provincial government budgetary requirements. For more information please review Property Tax.

     

     

    Information supplied by the City of Calgary link

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