On May 4, 2023, Governor Reynolds signed House File 718, establishing a homestead tax exemption for claimants 65 years of age or older.

In addition to the homestead tax credit, eligible claimants who own the home they live in and are 65 years of age or older on or before January 1 of the assessment year are now eligible for a homestead tax exemption. For the assessment year beginning on January 1, 2023, the exemption is for $3,250 of taxable value. For assessment years beginning on or after January 1, 2024, the exemption is for $6,500 of taxable value. An exemption is a reduction in the taxable value of the property rather than a direct reduction in the amount of property tax you pay.

The Iowa Department of Revenue has amended the Homestead Tax Credit and Exemption (54-028) form to allow claimants to apply for the new exemption. Applications are due July 1 to your local assessor. If the exemption is granted, the exemption will be allowed for future years without future filing as long as the claimant continues to qualify.

Application forms can be found on the web at https://tax.iowa.gov/ or by visiting the Franklin County Assessor’s Office in Hampton.  Please contact us by phone at 641-456-5118 or by email at csisson@co.franklin.ia.us if you have any questions.  The deadline to apply is July 1, 2023.

Re: Property Assessment Increases

Posted 03/30/2023

Franklin County property owners will soon be receiving their 2023 assessments in the mail and may have questions regarding the increase from the prior assessments. Here is what you need to know:

Iowa Code requires residential (this includes agricultural dwellings and residential 3+) property to be valued (assessed) at 100% market value in odd numbered years. The market value is determined by what buyers are paying for houses.  All real estate sales are recorded with the county and the Assessor’s Office sets values based on what the market has done. Almost all residential properties will see increases in market value in the 2023 assessment. These increases are part of a nationwide trend and represent the market change between January 1, 2022 through December 31, 2022. The 2023 assessed values in Franklin County are based on sales of residential property that occurred in the county in calendar year 2022.  Each geographic area in the county is analyzed independently to account for the variations in market conditions.  Location, location, location is still a dominant driving force in what buyers are willing to pay for real estate.

Agricultural land and outbuildings are not assessed at market value but rather on a five-year averaged productivity formula.  The crop years considered for the 2023 ag assessments are 2017-2021.  Ag assessments are also steeply increasing statewide this year.

Franklin County assessment increases are very similar to the statewide averages. If city and county assessors do not adjust assessed values as required by state law, the Iowa Department of Revenue would make the adjustments this Fall anyway via equalization order.  The result of an equalization order is a flat percentage increase by classification, with no regard to the local market conditions that vary by location.  Franklin County is not expecting any equalization orders this Fall, as the assessment changes are being applied this Spring, with assessment notices being mailed directly to property owners in the coming days.

It’s important to know that assessed value is not the same as taxable value. Assessed value is the actual market value of a property according to sales in that market (or the productivity value of ag property). Taxable value is the portion of a property’s assessed value that is subject to property tax. The taxable value is determined by the State’s assessment limitation (also called the rollback) that limits the taxable value of a property. 

This means that property taxes do not increase by the same percentage as assessments. In fact, as assessed values go up, the assessment limitation drops to limit the taxable value increase to 3% statewide. Assessed value and the assessment limitation (rollback) are two of the four factors that determine what a property owner pays in property taxes. The third factor is levy rates: each individual taxing jurisdiction (school districts, cities, county, townships, etc.) sets their own levy rates.  When assessments increase, it gives the opportunity for levying authorities to lower their levy rates.  The fourth factor is property tax credits and/or exemptions specific to an individual parcel.

Property records are available on our Beacon website. When considering your 2023 assessment, ask yourself, “Could I sell this property for that amount today?” If the answer is yes, the assessed value is probably accurate. If you feel the assessment is too high (or too low), you may review your record online (or request a copy of your property record card from our office) to make sure the property information on file is accurate. Recent sales are also available on the Beacon website. The Comp Search feature will allow you to filter sales by different property characteristics to see sales of properties similar to yours.

If you still believe your assessment is not the market value of your property, you may request an informal review with the Assessor’s Office and present any information or evidence to show what you feel your assessment should be and why. The informal review process is available from April 2^nd through April 25^th. If an agreement is not reached by the end of the business day on April 25^th you may make a formal appeal to the Franklin County Board of Review.

The Board of Review operates independently from the Assessor’s Office and has the power to either confirm an assessment, or make an increase or decrease if necessary. Protests must be filed with the Franklin County Assessor’s Office between April 2^nd and April 30^th to be considered by the Board. More information on this process can be found in the Board of Review section of our website.

If you have questions about your assessment or the appeal process, please contact our office:

By email:     csisson@co.franklin.ia.us

By phone:     (641) 465-5118

In person:    Franklin County Courthouse     

                           12 1^st Ave NW

                            Hampton, Iowa 50441

• July 1st is the deadline for filing for these.
• Anyone who has moved to or built a new home as their primary residence should file for the Homestead Credit.
• There are requirements for persons applying for the Military Exemption. Please see that page of the website to see if you qualify.