Your Property’s Value Depends on Who’s Running the Numbers

Commercial real estate is in rough shape. Interest rates have soared, operating costs are rising, and leasing demand is inconsistent. And it’s not getting better anytime soon.

The biggest problem? Valuation.

What’s your property worth? The answer depends entirely on who’s doing the math—and how they approach valuation.

Bank underwriters and tax assessors couldn’t be more different.

Underwriters are conservative by design, flagging every risk and preparing for the worst. Expiring leases? Slowing demand? Rent concessions? High tenant improvement costs? Stiff competition? Every red flag is a reason to slash valuations—and slash they do.

Tax assessors, on the other hand, often rely on outdated data. With slow markets and limited transactions, they fall back on backward-looking assumptions. Building still 60% leased? Great. That’s a “stable” property—at least on paper.

But here’s what the assessors miss: What happens when those leases expire? What about the incentives keeping tenants in place? What about falling market rents or rising vacancy rates?

Assessors see what went right—years ago.

Underwriters see what’s going wrong—right now.

And therein lies the rub.

Underwriters deliver valuations that hurt your ability to finance or refinance.

Assessors overinflate and leave you with tax bills that don’t reflect today’s reality.

The result? You’re overpaying taxes on value that no longer exists—often while struggling to get financing based on today’s real numbers.

Overpaying Taxes = Direct Hit to Your Property’s Performance

An inflated tax assessment doesn’t just waste money—it weakens your bottom line, lowers your property’s appraised value, and limits your financing and selling options.

For struggling office properties, where demand has cratered, overassessed taxes are draining cash flow. Multifamily isn’t far behind, as rising expenses and slowing rent growth squeeze margins.

At Realty Tax Challenge (RTC), we don’t take valuations at face value, and neither should you. We analyze every aspect of your property, exposing outdated assumptions and pressing for fairer assessments that reflect today’s market—not the past.

That’s why we’ve saved our clients over $100 million.

Tax assessments should be based on reality. Lowering your taxes isn’t just about saving money—it directly improves your cash flow, strengthens your investment, and increases your property’s market value.

Valuation isn’t just a number. It’s the foundation of your financing, your tax burden, and your future. If your tax assessment is based on outdated numbers, you’re paying for value that no longer exists.

Want to know if you’re overpaying? Contact us today at 914-348-9473 for a free evaluation and let’s find out.