Will remodling my home increase my property taxes?

For a dispositive answer, you should contact the Sacramento County Assessor's Office. The contact information is available on their home page at

. Generally, I believe the assessment is based on a drive-by assessment of the property (i.e. what can be seen from the street) and permits filed for structural changes, which would include detached structures in the rear of the house.

Assessed property value is not the same as market value. In particular, assessed property value is not affected by cosmetic changes such as new paint and interior changes that do not require permits (e.g. new or refinished floors and kitchen remodels).

That all depends on the bylaws of where you live. In some cities, from one zone to another, some of these bylaws can be different. You should go to your local city hall, and do a formal enquiry.

Based on my recent experience in San Bernardino County CA and by knowledge of Prop 13 your other improvements (hardwood floors, new paint, cabinets/counters) will not trigger a reassessment. You probably do not need a building permit unless you plan extensive plumbing or electrical work. The permit rules are governed by your local building code.

Your room addition will trigger an increase in assessment based on the number of square feet, whether an additional bathroom is included, and construction details (siding vs stucco etc).

The assessor gets copies of building permits. When you pull permits, do not put the "other improvements" on the same permit as your room addition permit. Your architect or contractor may have advice. The assessor may work from the permit, the plans, a questionnaire or a drive by.

In California assessed value becomes increasingly divergent from market value from the moment you purchase the property going forward.

For income tax purposes, your basis will increase by the amount that you spent on additions and improvements. For property tax purposes, I checked some numbers from a major addition/remodel from ten years ago, the assessed value went up by about 30% of the total expenditure. No details of how the increase was calculated were ever provided.

YCMV (Your County May Vary)

-Mark Bole

This comment is more of a historical note, because I do not know if this is still allowed. But when I lived in Menlo Park in the 1980s I'd see these wierd scrape-offs leaving the foundation and one room standing - typically a bathroom or pantry. (Like a tornado hit.) At that time there was a certain minimum of the original structure remaing that did not trigger a reassment.