UNDERSTANDING THE REAPPRAISAL
AND HOW IT AFFECTS OUR TAXES

Arkansas law mandates each county reappraise all real estate parcels to reflect current market conditions every four (4) years. (A.C.A. 26-26-1902(a).  Sebastian County’s next reappraisal project is scheduled to begin January 1 2026 and conclude December 31 2029. In this cycle, each parcel will be reviewed and valued. 

Reappraisal Process 

The Assessor, or a state approved appraisal contracting firm, will utilize mass appraisal practices and statistical analysis to determine market values for all taxable properties. This process consists of: 

• Data Collection:  In years 1-3 of the project, appraisal field staff will collect all physical characteristics of the parcels in our county. These include size of buildings or homes, quality of construction, and accessory assets like detached buildings or in ground swimming pools. 
• Market Analysis:  In years 3 & 4 of the current cycle, qualified appraisal team members will analyze all pertinent sales data and contributing market factors to determine the current value of all taxable parcels. Cost and income data may also be analyzed and included in valuation procedures, for appropriate parcels. 
• Value change notification:  After values have been established, notices of value change will be mailed out to all properties that see an increase. These notices must be mailed out no later than 10 business days in July (A.C.A 26-26-203) Add blank notice link here for for review) 
• This notice will include: the previous value of the property (established in the last reappraisal cycle), the current value of the property (established during the most recent reappraisal cycle), The taxable value (amount the taxes are based from) and estimated tax change (total difference to the property’s tax bill)  

 

What happens after I’ve received my notice? 

• Review the above mentioned sections of the notice. Pay close attention to whether the property is marked “ Y” for homestead and/or “Y” for the 65 year age or 100% disabled tax freeze. If you believe your property would qualify for any of these and aren’t marked accordingly, please contact the Assessor’s office to verify and correct. 
• After you’ve reviewed your notice, and disagree with the value, you may contact the Assessor or Appraisal Contractor for an informal appeal and review. Remember to bring any supporting data or documentation to this meeting.  The notice contains helpful information regarding the appeals process, and contact information for the Assessor, Collector and Appraisal Contractor. 
• If you are unable to reach agreement during the informal meeting, you may appeal to go before the Board of Equalization (see Process to appeal) 

How will a change in my property’s value affect my taxes? 

An increase to a property’s value, doesn’t always mean your taxes will. Amendment 79 to the Arkansas Constitution, known as Property Tax Relief, protects properties from large and dramatic tax increases due to market value shifts. These protections are as follows:

Qualifying Homestead property:   Any property that qualifies as homestead in Arkansas, may only see its taxable increase by no more than 5% per year until it reaches full value. For any individuals who are 65 or older or are 100% disabled, you may have your taxable value frozen from any increases to your taxable value. These qualifying properties would also receive the homestead tax credit. This tax credit can take up to $600 of the tax bill for that property. 

Non Qualifying Homestead Property:   (to included secondary residential or commercial property) Any property that does not qualify as homestead, may only see its taxable value increase no more than 10% per year until it reaches full value. 

Exceptions to the capped increase limits for taxable values covered by Amendment 79 

Newly discovered value:   All capped limitations will be suspended in the event that new construction takes place on the property. Any value attributed to the newly discovered portion of the property will be added to the existent taxable value at its full assessed value, and then the capped limitations on taxable value will reinstate. 

Act 2284 of 2005:  Any capped value limitation will be removed if an arms length transaction occurs. A property will accelerate to full assessed value (20% of appraisal) the first lien date after the recorded transfer occurs. In Arkansas, the lien date for real estate is January 1st annually. Since Arkansas collects taxes a year in arrears, the increase to your tax bill would be seen 2 years after the actual sale. 

Example: If a property sells in 2025, then it would accelerate to full assessed value (value established by the Assessor) on January 1, 2026. This would be the value the creates the tax bill due in 2027.