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Abatement

Definitions of Abatement
  • In a legal context in real estate, an abatement refers to a reduction in something such as a nuisance or hazard. It can also refer to the process of pursuing a remedy to a nuisance or code violation.

    In the event a nuisance infringes upon a property owner's ability to reasonably use their property, the property can seek to abate the nuisance to remedy the problem.

  • With respect to property taxes, a property tax abatement is a reduction in the property tax owed on real property.

    Property tax abatements may be sought by property owners looking to reduce their property tax liability if they feel they have been overtaxed. Local governments can offer tax abatements to developers, investors, and owners as an incentive to develop or make improvements on properties located in their jurisdictions.


Abatement

What Is An Abatement?

In real estate, an abatement is a reduction, deduction, or counter measure taken against a tax, nuisance, or hazard.

Abatement Of A Nuisance

Noise, smoke, odors, overhanging trees, roots that cross property lines, and many other things can be a nuisance to neighbors and surrounding properties. These nuisances can hinder surrounding owners and occupants from reasonably enjoying the use of their properties.

Property owners and occupants can pursue an abatement against nuisances that infringe on their property rights through several channels. Owners can directly approach property owners or persons causing the nuisance and ask them to abate, or remove the nuisance they are the cause of.

In certain cases, a property owner can self-abate by removing the nuisance him/herself. However, self-abatement does not relieve the aggrieved party from any liability if there are consequences that result from their actions.

Civil action is another avenue property owners can take to abate a nuisance. Public entities can remove nuisances or address code violations through abatement.

Property Tax Abatements

A Property Tax Abatement or Real Estate Tax Abatement is a reduction in property taxes owed on real estate. Property tax abatements may be offered by local governments as an incentive, or sought by property owners who feel they may have been overtaxed.

Local county and city governments can assess taxes on real property located in their jurisdictions. Sometimes local governments try and encourage property owners to invest in their property or promote development in their areas. To provide an incentive, local government can offer a reduction in property taxes. This reduction in property taxes is a type of abatement.

In some cases, property owners may seek a reduction in the property taxes they owe. Property taxes are based on assessed property values which can change as property values are reassessed in accordance with increased market values. If a property owner feels their property has been overvalued, the property owner may be able to seek a reduction in their property tax, also known as an abatement.


        

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