Real Property Appraisal

The function of any Assessor’s office is threefold: 1) to discover 2) to list 3) and to value all property, both real and personal subject to taxation, within their jurisdiction. The appraisal division’s roll within the Lyon County Assessor’s Office is just that, to value property under guidelines by the Nevada Revised Statues(NRS) and the Nevada Administrative Code(NAC).
There are three methods by which real property may be valued:

  1. Market approach

    - look at similar properties which have sold, adjust for the differences, and estimate the price the subject property might sell for.
  2. Income approach

    - estimate the amount of money the subject property might rent for based on similar properties that are being rented. Divide the annual income, after expenses, by a reasonable interest (capitalization) rate which would be determined by market rates.
  3. Cost approach

    - determine what it would cost to purchase a vacant parcel and build a structure(s) with similar utility as that of the subject property.

All counties within the State of Nevada are required to use the third method or cost approach to value real properties for taxation purposes. Nevada Revised Statute (N.R.S.) 361.227 requires the Assessor to establish the "taxable value" by determining the "full cash value" of the land and adding to that the estimated replacement cost of improvements (buildings, etc.) less appropriate depreciation. The replacement cost of the improvements is determined by using Marshall Valuation Service as required by Nevada Administrative Code. The appropriate depreciation, for real property is one and one-half (1.5) percent of replacement cost for each year of age of the structure(s).

The Assessor is also required by statute (N.R.S. 361.260) to determine the taxable value for all real property subject to taxation each year. The statute requires the Assessor to reappraise each real property at least once every five years. In the interim four years we must and do use factors as directed by the Nevada Department of Assessment Standards (D.O.A.S.) which is overseen by the Nevada Tax Commission (N.T.C.).

Land Factors


Land factors are determined by the Assessor’s Office, reviewed by D.O.A.S. and approved by N.T.C. Factors for the buildings, etc. are determined by D.O.A.S. and applied across the board to all properties not recosted.

Whichever method of determining taxable value is used (factoring or reappraisal), the total taxable value cannot exceed the "full cash value" (market) of the property as defined by N.R.S. 361.025.

Appeals


If a property owner feels that the "taxable value" of their property has exceeded the "full cash value" (market value) or was arrived at incorrectly they may appeal to the Lyon County Board of Equalization for review. An appeal form and instructions for completing the form may be obtained from the Assessor’s Office along with assistance from the appraisal staff. This completed form must be returned to our office no later than the fifteenth of January of the year in which the taxes are due.