A Surprise Property Tax Refund for Maricopa County Homeowners
This past week, I came across a post online that caught my attention: property tax refund checks were being issued to Maricopa County homeowners for tax years 2015 through 2021. Curious if this applied to me, I contacted the new owner of the property we sold in 2019. (Yes, selling was a huge mistake—one we live and learn from!) Fortunately, they've always been kind enough to hold onto important mail for us, and to my surprise, they had an envelope from the Maricopa County Treasurer’s Office.
Inside was a check made out to my husband and me, stemming from a class-action lawsuit settlement. The amount? Just under $300!
Now, being the skeptical person I am, I couldn’t help but wonder, “Is this real? Or is cashing this check going to land me in some legal nightmare?” Turns out, it’s real—and here’s why:
The Court Case Behind the Checks: Qasimyar v. Maricopa County
The refund checks are the result of a court ruling in the case of Qasimyar et al. v. Maricopa County, which addressed changes in property classifications and how they impacted property taxes. Specifically, the case focused on properties that had shifted between Class 3 (primary residence) and Class 4 (non-primary or rental residence). Under Arizona law, when a property’s use changes, the Limited Property Value (LPV)—the value used to calculate property taxes—must be recalculated. This affects the amount of tax you owe.
In 2021, the Arizona Court of Appeals ruled that such a change in use must trigger a recalculation of LPV. As a result, about 55,000 properties in Maricopa County had their LPV recalculated. The Maricopa County Assessor’s Office sent out notices to property owners, and in some cases—like mine—it led to a refund.
Why Did This Happen?
Before the court’s decision, the county didn’t consider a change between Class 3 and Class 4 as significant enough to recalculate LPV because both classifications still refer to residential properties. However, the court ruled that even this shift counts as a "change in use," and therefore, the property’s value for tax purposes needed to be adjusted under Rule B.
For tax years 2021 and earlier, this recalculation impacted thousands of homeowners, resulting in either higher or lower property tax obligations. Those who were overcharged on taxes, like me, are now receiving refunds.
What’s Next?
For properties that saw their LPV increase, there’s no additional tax liability for past years, but the recalculated value will affect taxes starting in 2025. However, moving forward, a 2022 Arizona law ensures that changes between Class 3 and Class 4 will no longer trigger this kind of recalculation. Rule B will only apply if a property undergoes a significant change in use, like being converted from residential to commercial or being omitted from the tax roll in previous years.
If you’re curious whether your property is included in this ruling, you can check here: Is Your Property Included?. If your property is included but it’s going to the incorrect address/payee changes/lost checks, click the parcel number in blue then “submit a claim form” and update your correct address in the message box.
For more details, the official court ruling and additional information are available on the Maricopa County Assessor’s Office website.
Wondering What This Means for Your Mortgage?
If you’ve recently received a property tax refund or want to understand how changes in your property’s value could affect your mortgage, it’s the perfect time to review your home financing options. At Gervais Mortgage, we can help you explore how these shifts might open up opportunities to refinance or adjust your loan terms. Reach out today for a free consultation and personalized advice on managing your mortgage effectively.
Let’s make sure your mortgage works for you in the long run!
Beef & Alaina Gervais
602-872-3501
thegervaisteam@gmail.com
www.livelaughloans.com