It is important to understand the difference between the subject’s property appraised value versus the tax assessed value. Tax jurisdictions vary in the methods used to assess property values, but local governments typically impose property taxes based on a tax assessed value which is separate and apart from the appraised value of your home. Your tax assessed value may be higher or lower than the appraised value which may result in a higher or lower monthly payment. It is particularly challenging for homeowners and lenders to project monthly payments with new construction properties which lack a tax history, and this can lead to larger discrepancies in the projected payments versus actual payments. If you have concerns about your local government’s tax assessed value, you may be able to appeal that value and your property appraisal may help substantiate the basis of the appeal.