Board of Review 634 Taylor St 3_12_26 Request and Board of Review Denial Decision .pdf
Scott Joseph Pacheco Petitioner V City Of Chelsea Respondent · 26-002694-TT
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To: City of Chelsea, Board of Review From: Scott and Jane Pacheco, owners (siblings) 634 Taylor Street (06-06-12-452-010) Chelsea, MI 48118 Subject: 634 Taylor Street Chelsea, MI 48118 Formal protest of valuation Date: March 12, 2026 We respectfully submit this letter to protest the valuation of the property located at 634 Taylor Street. The current assessed value and taxable value assigned to this property is $94,200, which indicates an estimated market value of approximately $188,400, as the assessed value is intended to represent 50% of market value. Under Michigan property tax law, property must be assessed at 50% of its true cash value, which is generally defined as the selling price of the property at a private sale. In this case, the most reliable indicator of the property's true cash value is the recent arm’s-length sale of the property. We purchased this home for $142,500, in July 2025, which was during the valuation review period. This purchase price reflects the market’s determination of the property’s value at the time of sale. The lower sale price was primarily due to the age and condition of the home. The house was built sometime in the 1800s, although the assessor lists the construction date as 1900, likely because determining an exact construction date for structures of this age can be difficult. At the time of purchase, the property was in significant disrepair and required substantial rehabilitation. Some of the major issues included: • Warped and unstable floors • A furnace dating from approximately the 1930s • Significant water damage to ceilings and walls • Interior features and systems that had not been updated for many years Also, because this home is older the basement ceiling heights are under 6 feet in height and the upstairs ceiling heights are under 7 feet in height. We currently have no plans to change these ceiling heights.
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Due to these conditions, the home was not in a livable condition at the time of purchase and still requires ongoing repairs to make it safe and habitable. We are attempting to make this home safe to live in, paint throughout, and refinish the existing flooring. Additionally, there are comparable homes in the surrounding area that sold during the same valuation period that support a lower valuation. Many of these comparable homes were in substantially better condition and required little to no repair before being occupied. These properties are currently being lived in, whereas the home at 634 Taylor Street is still undergoing repairs before it can be safely occupied. Please see the comparable homes sales below. Comparables Sales in the Neighborhood Subject Property: 634 Taylor Street a. Date of Sale: 7/21/2025 b. Price of Home: $142,500 c. Year Built: 1900 d. Bedrooms/ Bathrooms: 3/1 e. Size: i. Home: 1494 sq ft ii. Basement: 808 sq ft iii. Garage: 600 sq ft iv. Lot: 13,068 sq ft 1) 340 Pierce Street: f. Date of Sale: 12/30/2025 g. Price of Home: $135,000 h. Year Built: 1940 i. Bedrooms/ Bathrooms: 3/2 j. Size: i. Home: 1361 sq ft ii. Basement: 1361 sq ft iii. Garage: 463 sq ft iv. Lot: 10,000 sq ft +/- 2) 310 Pierce Street a. Date of Sale: 1/1/2025 b. Price of Home: $150,000 c. Year Built: 1950 d. Bedrooms/ Bathrooms: 4/1 e. Size: i. Home: 1,554 sq ft ii. Basement: 576 sq ft iii. Garage: 400 sq ft iv. Lot: 18,958 sq ft Each of the comparable properties sold for less than the current assessed value of $188,400 placed on the subject property at 634 Taylor Street.
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Additionally, the homes located at 310 Pierce Street and 340 Pierce Street were built significantly later (1940 and 1950) than the subject property, which was built in 1900 (or earlier). As a result, these homes are generally newer and in superior overall condition compared to the subject property. Both comparable homes also offer greater functional utility, as they contain either more bathrooms or more bedrooms than the subject property. Despite these advantages, both properties sold for substantially less than the assessed value currently assigned to 634 Taylor Street. Requested Adjustment Based on the recent arm’s-length purchase price of $142,500 and the comparable sales in the area listed above, we respectfully request that the Board of Review, review and reduce the true cash value of the property from $188,400 to $142,500. Applying the standard assessment ratio required under Michigan law, this would result in an assessed value of $71,250, which more accurately reflects the property's actual market value and condition during the valuation period. We respectfully request that the Board review the current assessment and adjust the valuation accordingly. Thank you for your consideration at this time.
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2026 BOARD OF REVIEW DECISION FROM CITY OF CHELSEA 734.475.1771 EXT 213 305 S MAIN, STE 100 CHELSEA MI 48118 NAME AND ADDRESS OF OWNER OR PERSON NAMED ON ASSESSMENT ROLL PROPERTY IDENTIFICATION: (Parcel Code required. Property address and legal description optional ) 8104006-06-12-452-010 634 TAYLOR ST PACHECO, SCOTT-JANE 210 PIERCE ST CHELSEA MI 48118 *OLD SID - FC 06-600-020-00 CV 8-19 LOT 6 BLK 2 JAMES CONGDON'S 3 RD ADDITION, THIS PROPERTY IS CLASSIFIED 401 (RESIDENTIAL-IMPROVED) Thank you for attending this years March Board of Review. The Board has reviewed the information you supplied and the data necessary 10 compute your assessment and taxable value. The Board has completed their review of parcel number 8104006-06-12-452-010 They have made the following determination based on the information you supplied. Board of Review Comments DENIED - PETITION NOT INCLUDED, SIGNED WITH APPEAL MATERIALS [2026 ORIGINAL ASSESSED VALUE 94.200 [2026 "BOARD OF REVIEW" ASSESSED VALUE 94,200 | (If the above amounts are the same, no revisions have occured) 2026 ORIGINAL TAXABLE VALUE 94,200 2026 "BOARD OF REVIEW" TAXABLE VALUE 94,200 2026 PRINCIPAL RESIDENCE EXEMPTION/QUALIFIED AG 0.0000 Please feel free to contact the assessor at the address listed above or call if you have any questions. “Effective March 1, 2013, the Tribunal is no longer able to accept Small Claims letter appeals. Rather, you are required to file a petition to initiate a new Small Claims appeal. Petition forms are available on this website.” http://www. michigan.gov/taxtrib/0,4677,7-187-38254---,00. htm}