Dearborn homes near Warren Avenue

DEARBORN — The value of residential property rose 6.7 percent in Dearborn from 2015 to 2016 as the city completed a detailed, multi-year reassessment of properties. However, residents will see only a negligible increase in property taxes due to the reassessment.

“The 6.7 percent increase in assessed value is a signal that home prices are rising in Dearborn, which indicates buyers are interested in living and investing in the city,” the city said in a news release.  

Property assessments of individual homes in 2016 is around the overall increase.

However, in some cases, individual home owners may see that their assessed values have declined. Annual notices of assessed property values will be mailed in late February. 

While stronger property values are good news, the effect on property taxes is a little more complicated. 

There is a difference in market value, assessed value and taxable value of homes. Assessed value is 50 percent of the market value (likely selling price) of a home. Because the State of Michigan has required the city to conduct a complete reappraisal, homeowners will see that their assessed value rose or fell this year. However, the taxable value, which is used to calculate property taxes will, only increase by three tenths of one percent— 0.3.