Stop Overpaying Property Taxes -- What the Assessor Actually Told Us

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If you own or are planning to buy a rental property in Detroit, understanding property taxes is not optional — it’s essential.

At a recent Real Estate Investors Association of Oakland County meeting, a Detroit city assessor explained something that surprised almost every investor in the room:

Most property tax appeals fail because investors argue the wrong thing.

The 3 Reasons You Should Appeal Detroit Property Taxes

1. The Property Record Card

After you purchase a property and submit a Property Transfer Affidavit, the city creates a “record card.”
This card lists:

  • bedrooms

  • garages

  • additions

  • square footage

The problem?
Distressed houses frequently no longer have those features.

If your garage was demolished years ago but the city still thinks it exists — you are being taxed for something you don’t own.

This is one of the easiest successful appeals.

2. Market Value

This is the most common appeal investors try.

You argue the house is not worth what the city says it is worth.
This can work — but it’s actually not the strongest argument in Detroit.

You often need comparable sales or an appraisal to prove it.

3. The Winning Strategy: Property Condition

This is the strategy many investors miss.

Detroit is unique because the assessor will consider interior condition.

You are proving:
Your property does NOT match the average condition of the neighborhood.

Qualifying issues include:

  • structural damage

  • bad roof

  • failing windows

  • gutted kitchen or bathroom

  • foundation problems

Cosmetic issues (paint, flooring, cabinets) do not count.

The 5 Things To Do Immediately After Buying a Distressed Property

Do these BEFORE renovating:

  1. Request the record card

  2. Photograph everything that appears distressed

  3. Obtain itemized repair estimates

  4. Contact the assessor immediately (do not wait for February) AskTheAssessor@DetroitMI.gov

  5. If needed, attend the Board of Review

You can contact the Detroit Assessor or review the official appeal process here:
https://detroitmi.gov/departments/office-chief-financial-officer/ocfo-divisions/office-assessor/property-assessment-appeal-information

Many investors wait until the formal appeal period — but the assessor can often adjust condition issues right away if properly documented.

Why This Matters

For Detroit investors, property taxes directly determine ROI. A tax reduction can change a property from a mediocre investment into a profitable one.

I have seen investors save thousands simply by documenting the condition before renovation began.

If you renovate first, you lose the evidence forever.

If you want help buying or preparing a Detroit rental property, we work with investors nationwide to purchase, renovate, and stabilize properties.

📩 Email: Monique@greatdaypm.com
📅 Speak with me: https://calendly.com/section8rentalmastery/investing