With constant news about increases in property values, bidding wars for homes on the market, a robust new construction market and government deficits, property taxes are rising at an alarming rate. As more people move into an area municipal service costs increase with the population increase. Schools districts have to serve the new students and towns have more roads to maintain, people to police, and fire protection responsibilities. The costs of these services are born by property owners. If a lot of the activities I have just spoken about are happening in your area, expect a letter from your local tax assessor to arrive soon.

This doesn't mean that you have to take your tax increase lying down. There are steps you can take to make sure that your taxes are in line with the other properties in your neighborhood and that you are not being unfairly assessed. Here are 10 things you can do to make sure your assessment is correct.

1. Review your Tax Bill for Errors. Your tax bill will have a description of your property, its age, square footage, condition and size of your lot.  Errors can occur. When you find a mistake, document it by providing blue prints, photos, a survey or an appraisal report. This will help you to prove the mistake and get the error corrected promptly. Most assessor offices will efficiently help you correct the mistake.

2. Compare the Assessed Value. Assessments are public records. You can compare your assessment with the assessments of other homes in your neighborhood. This can be done at the Assessor's office or in some cases via the internet. Many towns have web sites that can direcct you.

3. Ask a Real Estate Agent. Find out what similar homes have sold for in your areas for the past six months. This will give you an accurate idea of your homes market value. Make sure that the property sale information they provide are for arms length transactions.  Arm's length transactions are the most accurate since both parties are not related. If a sale occurs on your block between related parties the sale price is usually significantly lower than the normal market value.

4. Visit Open Houses. Only closed sales will matter in determining the value of your home. By visiting open houses in the area you can see how your house compares.

5. Your Purchase Agreement: If you purchased your home recently and your property taxes have increased sharply, take your purchase contract and information from other recent sales with you to the hearing.

6. Take Photos of Your Home: A picture can be with a thousand words. Take pictures of your homes faults. These could be cracks in the foundation, old siding and roof and sagging decks. When you are finished take photos of the best features of your neighbor's homes. You want to be the ugliest house on the block.

7. Get a Professional Appraisal: This is effective if you have an unusual home or few homes have sold in the area. If you have recently refinanced your home ask your lender for a copy of your appraisal. Appraisals ordered for refinances tend to be a little lower in value than those for a new purchase.

8. Check for Special Exemptions: Different exemptions are offered in different areas. The most common are homestead, veterans and senior citizens exemptions. There may also be exemptions for energy efficient home improvements.  Keep receipts and records to take advantage of these exemptions.

9. Make your Appeal in Writing:  List all of the reasons for your taxes to be reduced. This will help you to be organized in your appeal. It will also keep you focused and less emotional. Many times these disputes get emotional and this makes the process trying for all involved. Use facts and logic to keep a clear head.

10. Complete the Required Forms: Make sure you complete the required forms by the required deadline. It can be helpful to watch someone else make an appeal first. This way you will know what to expect.

Every property owner will go through this process at one point. Make sure you keep good records of improvements and changes in the local real estate market. Market values go up and down. By staying on top of these changes you will ensure that you pay your fair share of property taxes.