Board of Review outlines property assessment reforms for Detroit homeowners

The Detroit City Council's Budget Hearing on March 28, 2025, focused on the operations and challenges faced by the Board of Review, particularly regarding property assessments and exemptions. The meeting highlighted the need for a universal process to streamline the Board's work, which includes evaluating household income and composition to determine eligibility for various exemptions.

One significant topic discussed was the impact of poverty exemptions and the HOPE exemption on residents' fees for solid waste and parking permits. The Department of Public Works (DPW) noted that while they have no control over solid waste fees, reductions can be granted based on these exemptions. Similarly, residents living near high-demand areas, such as Little Caesars Arena and the new Ford tech center, can receive discounts on parking permits if they qualify for the HOPE exemption.

The Board of Review is currently engaged in its March meetings, where it hears appeals from property owners contesting their assessed values. A pressing issue raised was the problem of "uncappings," where property taxes can increase significantly after a property changes ownership. The Board's representative suggested that the City Council consider implementing a policy requiring sellers to provide potential buyers with a copy of the property's assessment and taxable value prior to purchase. This measure aims to prevent financial strain on new homeowners who may be unaware of the potential tax increases associated with their property.

Overall, the discussions underscored the Board of Review's critical role in ensuring fair property assessments and the need for better communication and processes to support residents in navigating these financial obligations. The City Council's consideration of new policies could lead to more informed property transactions and alleviate some of the financial burdens faced by homeowners in Detroit.