Can an Appraisal Help Me Challenge My MPAC Property Assessment?

Yes, it can, as long as the appraisal answers the same question MPAC answered. The Municipal Property Assessment Corporation (MPAC) values every property in Ontario as of a fixed valuation date, and your property taxes are calculated from that assessment. An independent appraisal that estimates your home’s value as of that same valuation date, using sales from that period, is useful evidence in a Request for Reconsideration or an appeal to the Assessment Review Board. An appraisal of today’s value usually is not, because it answers a different question.

Start With Your Property Assessment Notice

Your Property Assessment Notice shows your assessed value, your property class and the valuation date the assessment is based on. Ontario postponed the province-wide reassessment that was scheduled for the 2021 tax year, so recent assessments have continued to use a valuation date of January 1, 2016. Check the date on your own notice before doing anything else, since it determines the date any appraisal must use.

MPAC’s AboutMyProperty portal, which you can log into with the roll number and access key on your notice, shows the details MPAC has on file for your home and sales it considered. Many concerns start there.

Check the Property Details First

Some assessment problems are not about market value at all. They come from incorrect information on file, such as:

• Living area: square footage that is higher than the home actually has.

• Basement finish: a basement recorded as finished when it is not.

• Room counts: extra bedrooms or bathrooms that do not exist.

• Features: a garage, pool or addition recorded incorrectly, or not removed after it was taken down.

• Condition: damage or physical problems that affect value and are not reflected in MPAC’s records.

If the issue is a factual error, correcting it through MPAC may be enough, and you may not need an appraisal. If the details are right and you still believe the value is too high, that is where an appraisal helps.

Why the Valuation Date Matters

An assessment appeal is not a question of what your home would sell for this year. It is a question of what it would have sold for on MPAC’s valuation date, in its current state and condition. MPAC values the property as it is now, including any major changes made since then, as if it had sold on that date. Market conditions in London and the surrounding area have changed considerably since 2016, so comparing your assessment to a recent sale or a current appraisal will rarely make your case.

A retrospective appraisal does this properly. The appraiser researches comparable sales and market conditions around the valuation date, and values the property in its current state and condition as of that date. If you have renovated or added to the home since then, the report should include those changes, since MPAC’s assessment includes them too. We explain the broader difference between the two figures in market value vs. assessed value.

How the Process Works in Ontario

For residential properties, the process has two stages.

1. Request for Reconsideration (RfR): you ask MPAC to review your assessment. For residential properties, the general deadline is March 31 of the tax year. If MPAC issues you a Property Assessment Change Notice, which it does when a property changes, such as new construction or a major renovation, the deadline is 120 days from the issue date of that notice. The exact deadline is printed on your notice.

2. Assessment Review Board (ARB) appeal: if you disagree with MPAC’s decision on your RfR, you can appeal to the ARB, an adjudicative tribunal that is part of Tribunals Ontario. The appeal generally has to be filed within 90 days of the date MPAC issues its RfR decision. For residential properties, an RfR must be completed before you can appeal to the ARB.

An appraisal can be submitted with the RfR, and it can also be used as evidence at the ARB. Assessment rules and deadlines are set by MPAC, the ARB and the Assessment Act. Confirm the current requirements with them, or with a lawyer or paralegal who handles assessment appeals.

What Makes an Appraisal Useful Here

Not every appraisal report fits this purpose. A report for an assessment matter should:

• State the effective date: it should match the valuation date on your notice.

• State the purpose and intended users: property tax assessment review, with MPAC and the ARB identified where relevant.

• Use sales from the right period: comparable sales that closed around the valuation date, in your neighbourhood where possible.

• Describe the property as it is now: its current state and condition, including any major changes since the valuation date, valued as if sold on that date.

• Show the reasoning: adjustments explained so a reviewer can follow how the value was reached.

Our reports are signed by a Canadian Residential Appraiser (CRA, P.App.), a member of the Appraisal Institute of Canada, and prepared in line with the Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP). See what each report covers on our appraisal inclusions page.

Local Considerations in London and Area

Assessment concerns often come up where a property differs from the homes around it. Examples include an older home on a street of newer builds, a house backing onto a busy road or rail line, or a rural lot with a well, septic system or outbuildings that are hard to compare. A retrospective appraisal has to find sales from around the valuation date that reflect those differences in that specific area. We work across London and Southwestern Ontario. See our London, St. Thomas, Strathroy and Woodstock area pages.

Frequently Asked Questions

Will an appraisal guarantee a lower assessment?

No. An appraisal is an independent opinion of value, not advocacy. If the evidence supports a value close to MPAC’s, the report will say so. That is still useful, since it tells you before you go further.

Can I use a recent sale or a current appraisal instead?

Usually not on its own. MPAC and the ARB look at value as of the valuation date. A current figure reflects a different market, so it does not answer the question MPAC is asking.

Should I fix errors in my property details before ordering an appraisal?

Yes. Review your property profile on AboutMyProperty first. If a factual error explains the problem, correcting it with MPAC may resolve the issue without an appraisal.

Does a lower assessment mean lower property taxes?

Your property tax is calculated from your assessment and the tax rates set by your municipality and the province. A lower assessment generally lowers the amount owed, but the rates and how they apply are set by your municipality.

Does Riverbend represent owners at the Assessment Review Board?

No. We provide an independent, CUSPAP-compliant opinion of value. If your matter goes to a hearing, a lawyer or paralegal can represent you, and we can work with them on the report. Learn more about how we work with lawyers and accountants.

Getting a Value for MPAC’s Valuation Date

If you believe your assessment is too high and your property details are correct, a retrospective appraisal as of MPAC’s valuation date gives you supported evidence instead of a comparison to today’s market. Learn more about our residential appraisals, or request an appraisal with the address, the valuation date on your notice and your filing deadline.