Skip to: Site menu | Main content

Beach Triangle Residents Association

Neighbourhood News and Information

The Beach Triangle Residents Association, Toronto, Ontario

Advertise in the BTRA Newsletter

"Assessment at the Top of the Market"

Statement from Bob Topp, Chairman Coalition After Property Tax Reform (CAPTR)

 Share on Facebook

In the midst of an economic crisis and a looming recession, Ontario property owners are now receiving their first assessment notices in three years.

It is expected that the 2008 assessment will reflect major increases for most Ontario home owners. The three year period was one of buoyant real estate markets. But since the middle of 2008, there has been increasing evidence that we are now heading into a period of declining property values. Sales volumes dropped off earlier in the year and have now been followed by lower sales prices. Recessionary conditions at home, weakening real estate markets in the US and tightening credit conditions all point to a potentially significant decline in property values in the year ahead.

All Ontario properties were assessed as at January 1, 2008. Under changes to the assessment process introduced by the Liberal government in 2007, assessments will now be carried out every four years, rather than annually as previously scheduled. Any increase in assessment will be phased in over the subsequent four year period.

If Ontario had moved to an annual assessment cycle, as planned, any lowering of real estate values would have been reflected in the next annual valuation. Because the province moved to a fouryear assessment cycle, however, homeowners will be stuck with the 2008 assessment for the next four years. Those whose assessments were up more than the average for their municipality will feel the impact in rising property tax levies.

Given the volatility of real estate markets, we believe that, by moving to a four-year assessment cycle, the Ontario government has increased the basic inequity in the assessment/property tax system, creating economic hardship for countless thousands of Ontario property owners.

All Ontario homeowners will be faced in the year ahead with recessionary conditions, higher energy costs and their share of higher municipal spending for infrastructure needs. Those who are now receiving greater than average assessment increases will also have to face tax increases in each of the next four years.

Relief may only come in the next assessment, if the anticipated real estate downturn lasts that long.

About CAPTR

CAPTR is an alliance of urban, senior and waterfront groups representing over one million Ontarians. We believe there should be a limit placed on assessment increases to halt the volatility and unpredictability inherent in the present system for distributing property taxes based on real estate values.

With Toronto assessments just out we are anxious to hear cases of hardship resulting from the impact of higher than average assessments on members of the Beach Triangle Residents Association. We are also interested in any other observations your community may have regarding the new assessment and its impact on property taxes. Our latest report to the CAPTR members can be found under News on our CAPTR website shown below. If you have any questions or comments please give me a call. Bob Topp - Chairman CAPTR 416 929 9885 www.captr.org or www.wraft.com