Revolt on rates

By CASEY NEILL
YARRA Ranges residents are threatening to object en-masse to their rates notices, slamming increases in their property values that go against the market trend.
The shire is required to re-value properties every two years to determine how it will distribute rate collection around the municipality.
The capital improved value (CIV) and site value on rates notices received last week will be used for the 2012-’13 and 2013-’14 financial years and are based on property prices at 1 January this year.
In June councillors approved a 5.7 per cent rate increase in their 2012-’13 budget.
But in a letter to the Mail, Belgrave resident Willy Voss said his rates had jumped more than 20 per cent following a $90,000 increase in his property valuation.
“Why the increase in value … when in fact property values have decreased?” he said.
“Being on a fixed income, we cannot afford such illegal increases.”
On the Mail’s Facebook page Julie Buxton said her CIV went up $85,000 and her site value increased $60,000.
“And yet in June I got a proper valuation done on my house for insurance and bank purposes and the value had gone down by $100,000,” he said.
Olinda’s Elissa Jans said her property’s CIV had increased by $150,000 in just two years in the “very slow real estate market”.
“Since moving into my place my CIV has increased by $320,000,” she said.
“I’m wondering if that justifies the increase in my rates as well, of over $1000 in those four years?”
Monbulk resident John Nieman said his valuation increased from $355,000 to $465,000 in “a flat property market”. He urged resident to object en-masse to the rate notices.
“The valuer has gone completely berserk,” he said.
The Real Estate Institute of Victoria (REIV) told the Mail there was a two per cent drop in property values across Melbourne between 2010 and 2011.
Belgrave saw a 12 per cent decrease, Gembrook nine per cent, Warburton five per cent and Yarra Glen three per cent. Yarra Junction bucked the trend with an 11 per cent rise.
Yarra Ranges Council corporate services director Rebecca McKenzie said qualified valuation contractors carried out valuations.
“The process is overseen by the Valuer-General, and is independent of council,” she said.
“The revaluation process does not result in council receiving additional rates – it simply redistributes the collection of rates according to changes in relative property values.
“Up-to-date valuations ensure equity in the amount of rates contributed by property owners.”
Residents can object to their valuation within two months of receiving their rate and valuation notice.
For more information call Yarra Ranges Council on 1300 368 333 or visit www.yarraranges.vic.gov.au.