Special assessment
National Real Estate Exam glossary · National Real Estate Exam
Definition
A tax levied only against the specific properties that benefit from a public improvement, such as a sidewalk, sewer, or street, to pay for that improvement. It creates a lien limited to the benefited parcels.
Special assessment in plain English
A special assessment is an extra, one-time tax charged only to the specific properties that get a direct benefit from a public improvement, like a new sidewalk, sewer line, or paved street. The idea is fairness: if the city fixes the road right in front of your house and your neighbor's, the two of you should help pay for it rather than the whole town splitting the bill. It's like a group project where only the people who ordered the pizza chip in for it. Until you pay, the unpaid amount becomes a lien, meaning a legal claim attached to your property that has to be settled.
Related National Real Estate Exam terms
National Real Estate Exam practice questions · National Real Estate Exam flashcards · National Real Estate Exam study guide