Frequently Asked Questions

The objective is to provide a basis for distribution, or allocation, of taxes required to operate the Town and pay the Province for education funding requirements. The purpose is not to reflect one sale price, but to assess all similar properties at a similar value so that taxation is fairly and uniformly distributed among all taxable properties.  

Property assessment is based on a market value standard estimated as of July 1 of the previous year, as measured by the real estate marketplace according to property sales in the area.  Most commonly this value is determined through a comparison of similar properties.

Assessment applies similar criteria that real estate appraisers use when valuing properties for mortgage lending purposes and pricing properties for sale. Data considered includes:

• Style (bungalow, two story, bi-level, etc.)
• Lot characteristics
• Size 
• Building 
• Age 
• Garage
• Amenities  

Factors that may affect residential market value include the total finished living area, quality of structure, age of structure, level of modernization, building type (i.e. duplex, etc.), structure type (i.e. bungalow, two-storey, etc.), unit type in condominiums, type and size of garage, lot size and zoning, lot topography and access, views from the property and location of the property to traffic, greenspaces, community services, commercial properties, multi-family properties, waterways, schools, trains, transmission lines and communication towers.

Assessed market value is calculated by incorporating legislative provisions that utilize mass appraisal principles. Mass appraisal is the process of valuing groups of properties. Market value standards mean the median assessment in each group is based on the median purchase price.

The market value standard is a legislated and regulated valuation standard based on the premise that the amount of tax a property can pay is directly proportionate to the value it is worth. Market value standard generates values that can be objectively and readily compared for fairness to open market sales activity.  

This is a provincial statutory requirement that allows all assessors to annually analyze and evaluate market and sales data and prepare values prior to mailing assessment notices. All properties are assessed with the same effective date, so all assessments are updated at the same time.

The assessment roll is available for anyone's review and values are posted on the Town website. The assessment roll is submitted every year to the Province for independent review and audit. Owners can see and compare assessments and have the right of appeal.  Property characteristics are compared against other properties that have sold in order to calculate a value. Characteristics such as location, age, size, and others are considered.

To quickly reflect shifting values relative to the norm, or each other. To ensure no given property type or area is penalized with assessments too high when its value may have dropped, or not have increased to the extent of other properties. Property tax levies are always adjusted to municipal revenue requirements.

The intent of reassessing properties is to retain the competitive placement of each property in the community hierarchy.  Reassessment reflects differing value change rates and ensures all properties are retaining their fair respective slice of the entire Town assessment pie.  

Assessed values should not be viewed as an absolute number. Real estate valuation is based on market observations and comparisons. The market is an imperfect environment and not a controlled structured setting.  

There is a range in price purchasers will offer and a range that sellers will accept.  So there is a transaction zone for every property transaction. Differing property types will have varying tolerances to an actual deal. In addition to ranges inherent to individual deals, assessed values are generated on a mass basis which indicates precision to assessed values is less than 100%.

Provincial Audit standards require that the Average Assessment within a competitive group is to be within 5% either higher or lower than the average sale price within that group, and the range within a set of comparable sale properties can well exceed 10%. Generally Assessment Complaint tribunals will not consider adjusting an assessment where the request is for anything less than 5%.
 The resulting tax effect on assessment differences is minor as tax rates are very low relative to value.

Sizes come from original building construction plans and are reviewed or updated with periodic update inspections.

Lot sizes come from plans of subdivisions registered at the Land Titles Registry.

Assessed values are determined based on comparisons made of each property’s characteristics to similar properties which have sold.

Approximately 2,900 properties are assessed each year in Diamond Valley.

Assessment is based on typical market value, so any significant changes such as additions or garages that influence value will affect assessment. 

No it doesn't, and this is why:

• The ratio of tax to value is extremely low
• Many improvements will not increase the assessed value. 
• It takes a great deal of capital expenditure to increase an assessed value. 
• The improvements must be significant such as adding space or increasing the building class to increase an assessed value. 
• The cost of making improvements to existing buildings will not add proportionately dollar for dollar to assessment value, as the assessment is based on comparisons of sale prices of similar property. 

Your assessment notice is provided in March to give you time to review your property’s assessed value and contact the Town of Diamond Valley if you have concerns about the assessment before property taxes are determined. Since you are not able to dispute your property tax bill, you must address any concerns with your assessment notice before the assessment complaint deadline closes (June 2 in 2025).

Some assessments will be higher and some will be lower, but on average the median assessment is expected to be on the median sale price of similar properties. A lower purchase price at time of the effective date of the assessment may indicate a good buy when compared to its competitive group. 

Assessment values incorporate mass appraisal methodologies, which use a common valuation approach and data to develop typical valuations. Similar properties will have a range in prices.  Sale prices may be at the upper or lower end of the range. A property’s sale price can occur outside the range, but the assessment can still meet legislated standards.

Check the purpose and function of the report, the effective date of the valuation, interest valued, and limiting conditions regarding use of the report. If those match assessment parameters, with an effective date close to July 1, then it would be appropriate to send a copy of that report to the assessors for discussion.  

Although realtors have access to good sales data through the multiple listing services (MLS), there are a significant number of properties that do not sell through the MLS system and are included in the assessment analysis. 

 Keep in mind that real estate agents are professional facilitators with vested interests in the wellbeing of their clients. Their role is to represent their clients in purchase and sale agreements to the best of their ability. They are not bound by any assessment standards or appraiser objectivity, responsibilities, tests, or reporting requirements. If you need more information, please refer to the Alberta Real Estate Act.

Updated property sale data indicates that market participants are now prepared to pay proportionately more for your property type and/or location compared to others.  

There are a number of factors that go into determining assessed values.  A variety of changes including extensive renovations, basement development, garages, additions, fireplaces, etc. can alter assessed value. 

The assessed value is determined through an analysis of properties that have sold. Different neighborhoods or dwelling types may appreciate or depreciate in value at different rates year to year. 

There are a number of factors that can affect the value of property. Consider the following factors when comparing the value of two neighbouring properties:

• Are both properties similar in type (two story vs bungalow vs. split level)? 
• Are they the same size? 
• Are the lot sizes similar? 
• Are there location or amenity differences? 
• Are they similar in age and condition? 
• Have there been additions, renovations? 
• Do both properties have garages or basement development? 
• Does the neighbor border main traffic corridor? 
• Renovations and quality of interior and exterior finishes

Yes, Section 294 of the Municipal Government Act indicates that assessors have the right to enter and inspect property for the purpose of preparing an assessment after providing notice (assessors will have Town identification).  Properties are inspected on five year cycles.

Assessors collect data from inspections, plants, permits, property owners, land titles office, listing services, etc. in preparing assessments. 

If residents are not home and more information is required, a call-back card may be left to make an appointment. Assessors will continue property inspections throughout the year. For more information, contact an Assessor using the contact information at the bottom of the webpage.

If you have concerns about the information in your assessment notice, you should contact the assessor. If after having a discussion with the assessor, you are still of the opinion that your assessment is incorrect, you have the option to file a written complaint with the Town of Diamond Valley's assessment review board as long as it is filed within the defined complaint period. Instructions can be found on your assessment notice.

You are entitled to request a summary of information on how your property was assessed and about properties that are similar to yours. Instructions on how to contact the assessor for that information can be found on your assessment notice.

No. An increase in assessed value does not directly equate to a tax increase. 

• Tax might increase, but it is not because of increased assessment.
• Assessment does not determine tax rates. Only Town Council has authority to levy municipal tax.
• Property taxes are dependent on, and are a function of, Town Operating budgets and Provincial request for education funding.
• Taxes will increase because of increased Town operating budget and/or increased requisitions from the Province for education funding.
• The assessed value only allocates each property's proportionate share slice of the total tax pie.