The Heat Map for New Canaan Neighborhood Change Analysis (based on the 2018 Revaluation)

This is the heat map produced by Tighe & Bond for the Town of New Canaan as part of their most recent revaluation, October 2018. (Email me for the original PDF which will allow you to zoom into a particular property.)

My purpose in uploading this map is because it should be a public document and a tool for decision-making. Homeowners, their realtors, town officials and elected leaders need to understand which parts of our town are experiencing the greatest changes in valuation if we are going to debate why the changes are occurring and whether we want to use the tools available (zoning regulations, ordinances, the TEDAC) to make changes.

- Why was the area immediately north of the country club affected more than any other?

- Does lack of cell service affect value? Does proximity to town or to the Talmade Hill station?

- East and West school districts look to be affected equally, and more so than the South school district

- Prides Crossing, Hatfield Mews and 10 other properties stand out with more than 10% gains. Why?

The following chart provided in the revaluation presentation references 23 different neighborhoods in New Canaan. But, there was no corresponding chart showing which neighborhood is which.

Here are the original neighborhood maps from Tighe & Bond provided to New Canaan around 2000. They may have been updated since that time but nobody seems to have a more updated copy.

Chairman's View: Revaluation (Dec. 20, 2018)

Chairman’s View: Revaluation

DECEMBER 20, 2018 BY JOHN ENGEL. CHAIRMAN, TOWN COUNCIL

New Canaan’s real estate grand list fell by $570 million (7.15%) compared to 2017.In the recent revaluation:

• 4,861 parcels saw average decreases of 11%.
• 2,308 saw average increases of 13%.
• For homes worth more than $3 million, the average decrease was 14%.
• For $2 million to $3 million homes, the average decrease was 10%.
• For $1 million to $2 million homes, the average decrease was 7%.

Homes less than $1 million saw an average increase of 1%. Multifamily homes decreased 4%. Commercial properties increased an average of 13%. Condominiums increased 9%. 

We will not know what the new mill rate is and the new taxes are until the MuniVal consultation period is complete (this week and first week of January), then the Board of Assessment appeals process is complete (February) and then the (town and school) budget process ends with the Town Council vote April 4, 2019. 

If your revaluation is factually wrong then schedule a meeting this week for early January with MuniVal, the revaluation company and correct the facts (203-292-5500 or newcanaanreval@munival.com). If unsuccessful, then you must appeal in person to the Board of Assessment Appeals with facts about your house and comparable sales that occurred between Oct 1, 2017 and Oct 1, 2018. Appointments are given February 1 to 20 and the appeals take place in March. Sales that fall outside of that 1-year window are considered but carry less weight. 

After the 2013 revaluation the Board of Assessment Appeals increased two assessments and reduced 187 of the 285 appeals filed. Some homeowners appeal alone, others take a Realtor or an attorney. Some attorneys charge by the hour. Others work on contingency, taking a percentage of a successful appeal. If an appeal process is unsuccessful, the recourse is a lawsuit. Five years ago, 13 homeowners filed lawsuits against the town. Two were subsequently withdrawn. It takes three or four years to resolve a lawsuit.

Assuming health care rises 5%, town salaries rise 2.8%, school salaries 2.2% and $2.5 million comes from the general fund I expect expenses to increase 1.47% with “level services” and 1.86% if we follow Board of Finance guidance. Therefore, the mill rate announced in May will be between 18.61 and 18.69. That’s up 10% from 16.96.  A homeowner’s revaluation would have to decrease 9% in order to see a drop in taxes. To calculate your 2019 taxes multiply .01862 by your new valuation. (The spreadsheet is posted at johnengel.com).

Darien is revaluing now. Their assessor predicted most revaluations within 3% or 4% of their previous valuation. He expects the Darien mill rate to remain close to their current 16.08 rate. Wilton, now at 28.19, will send out revaluation letters in early January. Ridgefield’s grand list rose one half of one percent in their February 2018 revaluation, a 28.78 mill rate. Westport’s mill rate has been flat at 16.86 for 2 years and they won’t revalue until 2020. New Canaan experienced a 3% drop in the 2013 (reval) grand list but gained 1% in most years since (up $84 million, $85 million, $81 million, then $51 million in 2017).

Chairman's View: Revaluation and the Condo Market (Feb. 28, 2019)

Chairman’s View: Revaluation and the condo market

FEBRUARY 28, 2019 BY JOHN ENGEL, CHAIRMAN, TOWN COUNCIL

Condominiums rose 9% in value in a 5-year total revaluation that was down 7.19% The average condo owner will see a double-digit increase in their taxes, Specifically, 955 condos will see average increases in taxes of $1,137. Many condo owners are upset. They’re organizing behind their condo presidents saying this is a regressive tax on our seniors and demanding that something be done.

What are our options? New Canaan could have asked the State to throw out the entire revaluation if we had a basis to do so. Or, we can follow the process, appealing assessments individually. Four hundred and ten people have filed appeals, a bit more than f years ago (285), but a little lower than 10 (419) or 15 years ago (421).

Here’s the math: In 2013 47 condos sold at an average price of $798,807 and a median of $760,000. The high end was supporting the market with five sales above $1.2 million in 2013 and six sales over $1.2 million in 2012.

In 2018, 46 condos sold averaging, $778,962 and a median of $690,000. We had only one sale above $1.2 million last year. The high-end of the condo market is struggling. Not so at the bottom end, where demand is strong and prices on a per-foot basis constant.

In 2018 condos sold for $417 per foot and 1.56 times their assessments. Contrast this with five years ago, when they sold for $420 per foot and only 1.32 times their assessments. That multiple of assessment is the key. They are selling for a greater multiple versus their assessments. Their assessments had to catch up. Contrast that 1.56 multiple with houses, which are selling at 1.26 times their assessments.

Why are condos selling? It’s a relatively inexpensive way to buy into the New Canaan school system. And, Darien has far fewer condominiums, only about one-quarter the number we have in New Canaan. In contrast to the single-family house market, the condo market is remarkably consistent, four sales per month for the last 10 years, the result of continued demand for workforce housing, entry-level families and downsizing seniors for only 13% of our housing stock.

Munival, based out of Fairfield, (for $222,000) was New Canaan’s choice instead of choosing Ryan or Vision, both out of Massachusetts. Munival also works for Greenwich, Stamford and Norwalk. Darien chose Munis/Tyler Technologies for about the same price, $209,900 (but without a full inspection on their commercial)

Condos are in demand faster than they are being built, prices on less expensive condos are rising, and if we don’t like that we should ask ourselves if our zoning laws adequately address an affordable condominium solution for the next 10 years. That’s the tool we can use. In my professional opinion as a Realtor and based on these values, the current re-valuation is accurate.

The opinions expressed in Chairman’s View are those of Chairman John Engel and not necessarily those of other Town Council members.

Chairman's View: Spoiler Alert. I Like New Canaan's Prospects (April 11, 2019)

Spoiler alert. I really like New Canaan’s prospects. Here are 5 observations taken from the revaluation, the town budget, the state election, and the first quarter real estate sales. There is a happy ending.

1. The uncertainty coming from Hartford is probably worse than anything Hartford will actually do to us. We accept a certain amount of pain is coming and we adjust. But when house-hunters from New York say, “I heard the New Canaan train is going away” or “What’s going on with your schools?” we know the headlines are worse than the reality will ever be. 

2. New Canaan government is working leaner and smarter. Our budget went down .43%, the greatest cut in a decade while improving services. We built new playgrounds, turf fields and gas lines while putting solar on town roofs. Our roads will be new, and our schools will remain #1. Town Hall will sell antique buildings and find a way to co-invest in the world-class library our residents want. Progress is being made on parking, senior & affordable housing and improved cell service. It’s a great time to live right here.

3. The Waveny Conservancy, Land Trust, Library and Athletic Foundation are examples of the high-energy volunteer organizations we have in New Canaan restoring treasures like Waveny Pond with donations, paying it forward.

4. New Canaan real estate is stable. First quarter house sales are up 20% with average prices in the $1.3’s, (same as 2012-2013 & same as Darien). New Canaan is drawing buyers out of Westchester and NYC. (If we speed up the trains, wow, the landscape shifts more dramatically in our favor.) Why is the market recovering from the bottom-up?  75 million Baby Boomers are trying to sell their houses to 66 million GenX’ers (like me, late 30’s to early 50’s) and there are just not enough of us. Be patient. There are 83 million Millennials (23-38 yrs old) who are starting to discover that Texas and San Francisco are expensive. They have to live somewhere. Why not here? We are downright cheap.

5. New Canaan’s downtown is healthy with less than a 5% vacancy rate. A few years ago vacancies were lower and rents unaffordable. Rents are attractive again. P&Z and the new Tourism & Economic Development Commission are responding to changes in the market, giving us the flexibility New Canaan needs to compete in a changing retail environment. Developers respond with exciting new projects all over town. The Grand List is growing again. Consider the new developments built or planned for downtown: Pine Street Concessions, Oxygen, The Merritt Village, a new Post Office, a new Merrill Lynch, new mixed-use on Forest, Locust, Cross and Vitti Streets. Soon look to the corner of South & Elm and for more development on Pine Street to keep the next station to heaven vibrant.

Change is hard. For a town of steady habits that fears change New Canaan is adapting well, improving in so many ways, poised to compete for the next decade and beyond.

Letter to the Editor: Second Opinion Needed on Reval (March 7, 2019)

Letter: Second opinion needed on reval

MARCH 7, 2019 BY LASZLO PAPP 

Editor, Advertiser:

In his biweekly column in the Advertiser, Chairman John Engel suggested that nothing is wrong with the condo revaluation, but rather he questions if our zoning laws “adequately address an affordable condominium solution.” Having more than 30 years of involvement with our zoning laws, I can state that the Planning & Zoning Commission did and does exactly that. If I may go back a few years: In the 1970s P&Z noticed that the two-family zone does not satisfy the needs and requirements of the citizens. We introduced a cluster zoning, called “Alternate Development” which than evolved into multifamily, later also to apartment zoning. This was the very first “condo” zoning in the area, later followed by other towns.

Back to Mr. Engel’s argument that “the current revaluation is accurate”. He quotes valid statistics that 2018 condos sold for $417 per foot,versus $420 per foot five years ago. This means that in 5 years average condo prices went down 1% and not up 8% to 10% as the revaluation stated. This is very close to the real estate report that the average condo sales price of $ 807,604 in 2014 went down to $ 778,962 in 2018. This proves that the condo revaluation is anything but “accurate.”

What we need is a “second opinion” for a fair condominium valuation!

Laszlo Papp

TOWN OF NEW CANAAN PRESS RELEASE TOWN COUNCIL APPROVES FY2020 BUDGET OF $150.94 MILLION -- DECREASE OF 0.43% IS THE LOWEST IN LAST 10 YEARS FUNDS TO BE RAISED BY TAXES DECLINES 0.56% -- FIRST DECLINE IN MORE THAN 10 YEARS

The Town Council on April 4th approved a Total Expenditure Budget of $150.94 million

for fiscal year 2019-20, representing a decrease of 0.43% over the current fiscal year’s amended

budget expenditure of $151.58 million. This is the first decline in more than a decade. The

funds to be raised by taxation declined to $139.23 million from the current year’s $140.02

million, a decrease of 0.56% -- the first decline in more than 10 years.

The Town Council budget will be filed in the office of the Town Clerk and will become

effective eight days after publication unless a notice of intent to file a petition for a referendum

has been filed in the office of the Town Clerk within seven days after publication (Town Charter

Sections C4-13 and C4-14).

The Total Expenditure Budget includes Board of Education operating expenses of $91.43

(up 1.86 %) , Town department operating expenses of $39.92 million (up 0.56 %), debt service

of $16.84 million (down 9.29 %), and tax-funded capital projects of $1.73 million (down 40.32

%). To fund this budget, the amount to be raised from taxation is $139,230,687 (down 0.56%).

“We have much to be thankful for. Town leadership really came together to deliver the

tightest budget in over a decade, one which accurately reflects our priorities as a town: the #1

school system and among the lowest taxes in what most experts agree is still the best place to

live in Connecticut,” said Town Council Chairman John Engel.

The Town Council’s budget takes into account the 2018 Revaluation as of October 1,

2018 where the town’s 2018 Grand List declined 7.64% to $7.71 billion from the 2017 Grand

List of $8.34 billion. The decline in the grand list was primarily due to lower valuations of homes

valued at more than $2 million. The overall average decrease in residential property values was

7.2%. Commercial properties increased on average 10.8 %.

The reduction in the Grand List will result in an increase in the mill rate from the current

16.960 to an estimated 18.259. The final mill rate to be set by the Board of Finance on April 9.

Attached is Board of Finance FY 2019-2020 Budget Summary showing further details of

Town Department and Board of Education (BOE) year-over-year budget changes.

For further information, contact: Lunda Asmani, Budget Director, 203-594-3026.

The New Canaan 2018 Revalution: An Interactive Map of Old and New Property Assessments

Click on any dot to see the revaluation information on that property.
Red dots are properties where the assessment went down.
Green dots are where the assessment went up.
Bigger pins are properties where the assessment changed by more than $1 million.



Credit: Bob Naughton

Contact your realtor to discuss how the revaluation affects you.

Click here to download the excel spreadsheet of valuations on the town website.

Call or text me, John Engel at 203 247 4700, to discuss home values or Susan Engel at 203 247 5999