By SUZANNE DOWNING
Jan. 24, 2026 – When Anchorage’s latest property assessments were released, the city reported a modest average increase of about 4.2%. But for many homeowners, that figure bore little resemblance to reality.
Some saw increases as high as 50–58%. Others saw decreases. Neighbors with nearly identical homes experienced wildly different valuations. Entire streets showed no consistent pattern. In some cases, assessed values now exceed recent sale prices.
The confusion isn’t accidental but is the result of a deeply flawed assessment system, bad data, and a rushed attempt to correct a broken tax roll using a computer model that lacks reliable inputs.
Related story:
Anchorage property assessments: Most spike up, but mayor and her allies’ valuations go down
At public events, Mayor Suzanne LaFrance cited a 4.2% increase in assessments citywide. But that figure appears to reflect overall valuation across all property types, not residential property specifically.
In a little-noticed assessor’s work session report to the Assembly on Jan. 12, the actual figure presented for residential property was closer to 3.5%.
That work session was sparsely attended , however. Only a couple of Assembly members and Chairman Chris Constant were present. The information never reached most of the public.
The current assessor inherited what multiple insiders describe as a deeply corrupted tax roll:
- Longstanding phony exemptions that indicate favoritism
- Years of non-inspection
- No interior inspections
- No updated condition ratings
- Aging housing stock
- Outdated property descriptions
- Systemic underfunding and understaffing
- An assessment office that lost independence when it was placed under the Treasury Department during the Mark Begich administration, making the assessor subject to mayoral termination
No one wanted the job. The current assessor reluctantly took it and tried to fix the mess.
His goal was to fix a broken system by building a computerized valuation model. But the model relies on accurate data. And that is something Anchorage gave up long ago.
As one longtime real estate professional put it: “Garbage data in, garbage data out.”
For years, properties were not physically inspected, and conditions were defaulted to “average” in the system, regardless of the reality. Remodeling and deferred maintenance was not captured by the computer, and interior upgrades were rarely recorded.
So now the computer sees thousands of homes as essentially identical across a wide area, even when they are not.
When a newly remodeled home in an older neighborhood sells, the computer model treats it as “average,” then uses it as a comparable, causing entire streets to be overvalued.
Because of limited sales data, comparables are being pulled from greater distances than ever before, and luxury remodels on one home on a street distort values across entire blocks.
In one established midtown neighborhood of 141 homes, 24 homes decreased value, 17 increased over 20%, and the highest increase was 58%, Many rose 10–15%, while some dropped 12%,
In multiple cases, one home dropped while the neighbor next door rose by the same margin.
On another street in that neighborhood, every home dropped 3–5%, except one, which rose 40%.
Another home in midtown saw a 55% increase, roughly $500,000 in assessed value in a single year.
When recent sales were analyzed by The Alaska Story, 9 sales from 2024–2025 were compared to new assessments, five properties were assessed 21% higher than their sale price, only two matched sale price, and the rest varied inconsistently.
That is not normal assessment behavior, nor could it reflect market realities.
Newer subdivisions were not spared. In homogeneous developments, where homes were built by the same builders, at the same time, with similar layouts, the system still failed.
In the hillside Goldenview subdivision, homeowners report widespread valuation problems. A Zoom meeting of the Goldenview Homeowners Association drew 70 residents last night to discuss coordinated action. People are upset.
Ironically, in that same part of town, Mayor Suzanne LaFrance’s assessed value went down, while similar homes nearby went up, again with no rational pattern.
Structural problems also exist in the assessor’s office: It’s understaffed, lacks field inspectors, and lacks data quality control.
And the loss of assessor independence does factor in. It is nearly the only jurisdiction in the country where the assessor is directly under mayoral control, without an independent board or elected oversight, unlike most of the US, where assessors are either elected or governed by independent boards.
This has created a chilling effect for people who know their assessments are wrong are afraid to challenge them. Not to mention the cost of filing an appeal.
The Anchorage Assembly has the option to extend the appeal period and waive the $200 appeal fee, and could hold formal public hearings on the disparities identified in the recent assessment rolls.
The assessment cycle was broken long ago, and is now just a mass recycle of a broken tax roll that uses a model built on deteriorated data.
The assessor was trying to fix a mess. But the fix itself produced a new one.
8 thoughts on “Why Anchorage’s new property assessments look chaotic, and what can be done”
What may be greatest abuse is mentioned in the article but some may wish it would go away: Exemptions from taxes. I suspect that there are exemptions from taxes that have been granted as obscene political favors. When the MOA engages in slippery “deals” to spur development, it would not be surprising to see significant tax relief. This is “deal” for developers but all remaining taxpayers have to pay for it. An independent audit – a massive dose of sunshine with publication of ALL tax exemptions – is necessary and appropriate. This audit would also reveal how the army of non-profits cost the community.
Spot on. This is a MUST.
Do you have any tangible proof of this?
A bigger problem is how many non-profits pay nothing into the system.
Owners of Fire Island Bakeries got a 10 year zero property tax exemption last year July 30, 2025.
From MRAK “Political Favoritism? More property exemptions handed to politically connected in Anchorage”:
A new hotel at 4th and C Street, backed by politically influential figures, received a 10-year exemption.
SpanAlaska Trucking, a subsidiary of the $4.5 billion Manson Lines, built a $26 million warehouse and received a full property tax exemption.
New $840,000 condos downtown are being advertised with a 12-year property tax exemption, boosting sales value while shifting the tax burden to other neighborhoods and other residents.
Communist mayor and assembly. Whatever could go wrong?
This circus all goes back to the ringleader Mark Begich
Ding! Ding! Ding! We have a winner!
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Begich is far from the only one, but he has been in it big time.
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Fun Fact: the sales tax proposed by Mayor LaFrance is partly for ‘property tax relief’. The greatest relief will be to big corporations and commercial property investors, with the costs picked up by individual taxpayers. More profits for the largest and richest.
The tax appeal process is nothing more than a kangaroo court, just ask anyone who has gone through it in the last few decades.