New Jersey Property Tax Laws and Regulations

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Questions and Answers

According to the provided data, what is the median value per front foot?

  • $351,694
  • $9.06
  • $1,812.50
  • $1,800 (correct)

Which of these methods is NOT explicitly listed as a category of estimating cost in the appraisal manual?

  • Quantity survey
  • Unit-in-place
  • Comparative Unit
  • Trended historical adjustment (correct)

What is the basis for developing building costs according to the NJ Appraisal Manual?

  • Historical data
  • Land value appraisals
  • Costs of labor and materials (correct)
  • Sales of comparable properties

The NJ Appraisal Manual provides unit costs for which of the following dwelling types?

<p>Single family homes (D)</p> Signup and view all the answers

For triangle lots with the base on the street, what percentage of value is typically assigned?

<p>65% (C)</p> Signup and view all the answers

Which of the following is NOT listed as a possible shape of lots for which rules are provided?

<p>Circular (A)</p> Signup and view all the answers

What is the date used as the basis for unit replacement costs in the NJ Appraisal Manual?

<p>October 1, 2001 (B)</p> Signup and view all the answers

Which cost estimation methods are utilized in the NJ appraisal manual?

<p>Unit-in-place and comparative unit (C)</p> Signup and view all the answers

Using the provided depth chart, what factor is applied to a property with a depth of 130 feet?

<p>1.30 (A)</p> Signup and view all the answers

In the given depth chart, what is the corresponding factor for a depth of 160 feet?

<p>1.45 (A)</p> Signup and view all the answers

According to the chart, what depth in feet corresponds to a factor of 1.10?

<p>110 (C)</p> Signup and view all the answers

What is the factor used in the depth chart when a property has a depth of 150 feet?

<p>1.40 (D)</p> Signup and view all the answers

Based on the depth chart, if a property has a depth of 170 feet, what factor should be applied?

<p>1.48 (B)</p> Signup and view all the answers

What factor from the depth chart is applied to a property that has a depth of 140 feet?

<p>1.35 (D)</p> Signup and view all the answers

A property has a depth of 120 feet. According to the chart provided, what is its corresponding factor?

<p>1.20 (C)</p> Signup and view all the answers

According to the depth chart, what is the factor applied to a property with a depth of 180 feet?

<p>1.50 (C)</p> Signup and view all the answers

Using the depth chart, a property with a depth of 100 feet has what factor applied to it?

<p>1.00 (A)</p> Signup and view all the answers

According to the depth chart provided, what is the factor of a property with 110 feet?

<p>1.10 (D)</p> Signup and view all the answers

A commercial lot measuring 200' x 400' is sold for $80,000. What is the price per square foot?

<p>$1.00 per square foot (B)</p> Signup and view all the answers

A commercial lot measuring 200' x 400' sold for $80,000. If the standard depth for the area is 400', what is the front foot value?

<p>$400 per front foot (D)</p> Signup and view all the answers

Mr. Jones is constructing a patio with dimensions of 12 feet by 9 feet, which will be 6 inches thick. How many cubic yards of concrete will he need?

<p>2 cubic yards (A)</p> Signup and view all the answers

In a depth chart where the standard depth is 120', what is the interval for depth adjustments if there are four known points at equal intervals?

<p>30 feet (C)</p> Signup and view all the answers

A lot measuring 60' x 100' sold for $100,000 and another lot measuring 60' x 120' sold for $120,000. What is the price per square foot for a lot with a 100ft depth?

<p>$16.67 per square foot (A)</p> Signup and view all the answers

Given the following sales data: 60 x 100 lot for $100,000 and 60 x 120 lot for $120,000 what would be the adjusted price for a 60 x 130 lot?

<p>$130,000 (D)</p> Signup and view all the answers

Given the following sales data: 60 x 100 lot for $100,000, 60 x 120 lot for $120,000, what is depth factor for a plot of land with 150 foot depth, when the standard depth is 100?

<p>1.40 (C)</p> Signup and view all the answers

Using the depth chart methodology, what happens to the adjustments as the intervals increase from 100 feet?

<p>The adjustments decrease at a linear rate (C)</p> Signup and view all the answers

Flashcards

Mean

The average value calculated by adding all numbers and dividing by their count.

Median

The middle value in a sorted list of numbers.

Cost Approach

A method for estimating property value based on replacement costs minus depreciation.

Unit-in-Place

A method that estimates costs based on individual building components as constructed.

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Comparative Unit

A method that estimates costs by comparing similar projects or units.

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Replacement Cost

The cost to replace a property with a similar one at current prices.

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Unit Costs

Costs attributed to specific units of construction, such as per square foot.

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Building Classes

Categories of buildings based on type, used for cost estimation.

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Depth Factor

A numerical value representing the value of property at varying depths, used in appraisal.

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Depth Chart

A table that relates property depth in feet to its corresponding factor for valuation.

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100% Depth

The full depth value of 120 feet with a factor of 1.00, serving as a baseline for appraisal.

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90% Depth Values

Depth values at 90% start with 90 feet, pricing decreases as depth reduces.

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70% Depth Values

Rapidly declining depth values starting at 60 feet, with factors dropping significantly per depth decrease.

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40% Depth Values

Factors decrease further at 30 to 10 feet; values are diminished at shallower depths.

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Depth at 180 feet

180 feet depth equates to a factor of 1.50, indicating increased value due to depth.

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Depth at 100 feet

At a depth of 100 feet, the factor is 1.00, marking the baseline in the depth chart.

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Factor Calculation Example

An example calculation for property value; associated factors may determine appraisal worth.

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Appraisal Manual Purpose

A guide for assessors in New Jersey on property valuation tactics, including depth.

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Front Foot Value

The price per front foot for a parcel of land.

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Cubic Yards Calculation

The volume of concrete needed in cubic yards.

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Depth Chart Creation

A chart representing land depth at intervals.

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Lot Sales Price Analysis

The relationship between lot size and sales price.

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Commercial Lot Dimensions

The size of a commercial lot for valuation.

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Concrete Volume Formula

Volume = length x width x depth (in yards).

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Factors for Lot Depth

Developed factors to compare varying lot depths.

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Sales Price per Square Foot

The price calculated by dividing total price by square footage.

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Study Notes

New Jersey Property Tax Laws and Regulations

  • The document is an appraisal manual for New Jersey assessors
  • It details valuation procedures and legal basis for assessment
  • The manual covers objectives, narrative, valuation, assessment, and tax calculation examples
  • It also details the appraisal process

Table of Contents

  • The document's table of contents lists each chapter title and its corresponding page number
  • The topics covered include objectives, narrative readings, class exercises, questions, answers, and extracts from the appraisal manual
  • The page numbers show the content's organization.

Objectives

  • Assessors need to understand the appraisal process
  • Assessors need to know the different approaches to property valuation
  • Assessors need to calculate tax rates

Valuation

  • Local property tax is calculated based on the relationship between assessed property value and budget levy (total amount needed)
  • An example illustrates calculating residual amount and tax rate
  • Assessed value is multiplied by a tax rate to determine property tax due

Appraisal Process

  • The appraisal process includes defining the problem, preliminary survey, data collection, and analysis of findings
  • The goal is to interpret the thinking of buyers and sellers
  • Three main approaches used in property valuation are market, cost, and income approaches

Units of Measure and Market Value

  • The document offers a class exercise involving land parcels of varying sizes and sales prices
  • Calculations are needed to determine front footage, square footage, acreage, and prices per unit of measure for each parcel
  • This exercise helps understand market value comparisons

Appraisal Manual Excerpt

  • The manual details base specifications for single-family residences like roofing, foundation, structure materials, and plumbing
  • It includes estimates and costs for base specifications of each category, such as floor, plumbing, and heating
  • Provides costs and factors for classification for various building types like farm buildings, apartments (two to four family), and mobile homes.

Study Questions

  • The manual provides study questions on topics like calculating wall ratios for buildings, determining land values per square foot based on sales data, and calculating cubic yards of concrete for a patio project
  • It covers depth charts for analysis of sales of properties in neighborhoods with varying depths based on creek beds
  • Sample solutions are provided for the questions for learners to check their understanding

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