- Paradigm Tax Group purchases startup and validates tool that automates property tax appeal process.
Ignorance, laziness or an aversion to bureaucracy are sometimes the only things standing between homeowners and lower property taxes.
TurboAppeal lifted these barriers by making it a breeze to file property tax assessment appeals.
“Most homeowners don’t know that they can appeal their property taxes, so we work with national and local real estate brokerages and lenders to help raise awareness by co-marketing this service together which adds value to a home by reducing its liability,” said TurboAppeal CEO Badal Shah.
Validation of the service came today with the announcement that Paradigm Tax Group, a property tax consultancy, had purchased the startup. Terms were not disclosed, but a person familiar with the deal confirmed that the startup sold for more than $10 million.
The acquisition marks the culmination of a partnership under which TurboAppeal and Paradigm had already designed a version of TurboAppeal for commercial real estate companies.
TurboAppeal’s software provided an “unprecedented technological leap in the tax appeal process and the greater market recognized the need to enhance their workflows,” said Casey Berman, managing director of Camber Creak, a real estate tech venture capital firm that was one of TurboAppeal’s largest investors before the acquisition.
Paradigm Tax Group’s purchase of TurboAppeal “will provide businesses and consumers alike with a holistic property tax solution previously unavailable in the industry,” said Mark Wanic, CEO of Paradigm Tax Group.
Property owners who believe their property is overassessed can collect evidence that corroborates a lower valuation and file an appeal, potentially resulting in lower property taxes.
TurboAppeal streamlines this cumbersome process.
“TurboAppeal asks the homeowner for their address and automates the rest, generating all of the evidence and detailed instructions for the homeowner to complete a simple form, sign, and mail,” TurboAppeal CEO Badal Shah said.
Users only pay if the appeal is successful.
TurboAppeal wouldn’t disclose its current success rate, but said that the startup has generated more than 100,000 appeals to date.
TurboAppeal partners with brokers and lenders to market its service and “help be their subject matter expert to educate their clients,” Shah said.
“We’ve seen tremendous success with broker outreach programs which generates a lot of calls and retention opportunities for them,” he added.