<p>In MA, properties are reassessed every year at full market value. There is no limit on how much your assessment can increase or decrease every year. In the city or town <em>as a whole</em>, taxes can only rise a maximum of 2.5% per year except under limited circumstances, but individual properties can swing as much as the market says. The rate is set by dividing the city’s budget by the total assessed value of all properties in the city.</p>
<p>There is an appeal process, however the only way to win is by showing via recent sales of nearby comparable properties that yours is overvalued. Otherwise, it’s basically me saying “in my opinion it’s worth X” and the city says “in our opinion it’s worth Y”. Guess who wins that?</p>
<p>Plus, they will not consider foreclosures and short sales as comparables, because they consider those prices to be “distressed” and not truly reflective of the value. Unfortunately, for these types of houses (3-4 unit buildings) there are no recent sales that are not foreclosures within a couple miles of these properties. Literally, none.</p>
<p>So there really isn’t much I can do.</p>