Decline in Value – How It Works
Revenue and Taxation Code section 51, requires an Assessor to annually enroll the lesser of a property's Proposition 13 factored base year value or its market value as of the lien date, January 1.
An Assessor's office continually monitors real estate market conditions and reviews and adjusts assessed values as necessary to ensure properties are assessed correctly.
Most County Assessors will review a property's assessment for a possible decline in value upon a property owner's request. The review may be provided as an informal discussion with the Assessor's staff, or the assessor may require the property owner complete a request form. Contact your local Assessor to determine the requirements for a decline-in-value review in your county.
The typical review process may be as follows:
- Complete the Assessor's request form or contact the Assessor by phone.
- Provide the Assessor information that supports your opinion of market value for the property. This information typically includes comparable properties that sold close to January 1 but no later than March 31.
- Submit the request form and/or information requested by the deadline.
- An appraiser from the Assessor's office will review the information submitted and perform a market value analysis of your property as of January 1.
- The Assessor's office will determine whether the current market value of the property is lower than its current factored base year value. The lower value is enrolled.
- After the review is complete, the property owner is notified of the assessed value.
If you disagree with the assessed value after the review has been completed, you may file an assessment appeal application with the county clerk. The application, which includes instructions for completion, is available through your local clerk of the board website. The appeal application must be filed during the county assessment filing period.
For more information on the assessment appeals process, please visit the BOE's Assessment Appeals webpage.