Loading...
1 - LBAE Otsego Packet 2024Tuesday, April 23, 2024 Otsego Local Board of Appeal & Equalization Minnesota State Law requires assessors to value property based on historical data. Taxes payable are always based on the prior year’s value, which was determined using sales data from a previous time period (see chart below). Therefore, in an escalating market, assessed values are typically lower than the current market. Likewise, if sales prices are declining it’s possible that assessed values will be higher than the current market. This is due to the time frame we are required to work with and the effects of a rapidly changing market.                  PREVIOUS MARKET                   CURRENT MARKET   Gather & Verify Sales Data Valuation Year    Pay taxes   Oct. 1, 2021 Thru Sept. 30, 2022   2023   2024 2025 Oct.1, 2022 Thru Sept. 30, 2023 2024 SUMMARY OF THE OTSEGO 2024 ASSESSMENT Residential / Seasonal Recreational During this year’s study, we had 338 qualified sales used for the sales ratio study with an initial median ratio of 102.76%. After adjusting for market conditions and equalization, the final median ratio of the 2024 assessment is 96.03%. This was the result of a 4.85% decrease of total city residential value, year-over- year. Wright County Large Cities % Change Total Dollar Value of New Construction 2024 (assessment) compared to 2020-2023 Total dollar value of new construction in 2024 (Residential) $85,456,300 Total dollar value of new construction in 2024 (C/I/A/MH)* $19,815,500 Total dollar value of new construction in 2024 (Agriculture) $ 25,900 Total 2024: $105,297,700 Total 2023: $176,372,400 Total 2022: $184,300,800 Total 2021: $130,909,700 Total 2020: $97,367,900 New Construction Dwellings (Calendar Year) Net # of Permits 2023 252 2022 302 2021 419 District % Change Albertville Buffalo Delano -2.64 -1.21 -1.61 Monticello -1.81 Otsego -4.85 St. Michael -3.02 Estimated Market Value of City of Otsego 2020-2024 Assessment TOTAL CITY VALUE: $3,727,684,300 (Excludes: exempt, state assessed, & personal property) $2.204 $2.474 $3.050 $3.713 $3.728 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 2020 2021 2022 2023 2024 EMV (in billions) EMV $3,120,565,400, 84% $122,583,100, 3% $197,897,900, 6% $194,323,900, 5% $9,572,400, 0% $82,741,600, 2% Otsego EMV By Class Residential Commercial Industrial Agricultural Mobile Home Park Apartments *Graphs depict only QUALIFIED SALES from 10/1/22 – 9/30/23 $271,333 $301,343 $349,429 $421,760 $382,192 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 2020 2021 2022 2023 2024 Median Adjusted Sale Price $467,761 $440,416 $368,659 $381,996 $255,020 107 sales 22 sales 33 sales 64 sales 111 sales $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000 2 Story Mod. 2 Story & 1 1/2 Story 1 Story Split Towhome Median Adjusted Sale Price By Style *Value of all residential homes including seasonal recreational and partially complete n/c $270,300 $286,400 $345,400 $402,700 $386,400 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 2020 2021 2022 2023 2024 Median Assessed Value (Residential) Review Area