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RALEIGH — On average, home values in Wake County have gone up 20 percent over the last four years, the county’s tax office found after completing a regular reappraisal this week.
Values for commercial properties increased an average of 33 percent, the Wake County Department of Tax Administration found. The department conducts regular reassesses the value of all property every four years.
“Our local market has been extremely active since 2016, and we have ample sales data to substantiate values calculated during this reappraisal process,” said Tax Administrator Marcus Kinrade. “It’s important to note that the reappraisal only focuses on updating assessed values for 2020 – not the amount of property tax that will be due.”
The reappraisal will be reflected in next year’s property tax bills, although the exact amount owed by a property owner can’t be calculated until tax rates are set this summer.
A municipality could lower its tax rate this year in response to the higher property values and generate about as much revenue as if the reappraisal hadn’t taken place. Or, it could maintain or increase its tax rate to generate even more revenue.
Homeowners can estimate their next tax bill using the county’s online calculator at bit.ly/30voGFt, which assumes a revenue-neutral tax rate.
About 395,000 notices were mailed out to property owners Tuesday, providing an overview of each property’s reappraised value. The values ere effective as of Jan. 1 this year.
Home prices in the county are up largely because there is a low supply of homes but a growing demand, the county said. Homes less than $250,000 are extremely sought after, driving up their value.
Commercial values were driven by growth in hotel, apartment and industrial properties, the county said.
The total value of property transactions in 2019 in Wake County was $15.3 billion, up from $14.2 billion the year before, the county Register of Deeds announced Tuesday.
“The increase in value was buoyed by strength in the core real estate market,” the Register of Deeds said in a press release, referring to sales valued at less than $1 million, which make up 97 percent of property transactions.
The average property transaction was $303,000 last year, an increase of $10,000 from 2018 and $48,500 from 2016.
Property owners can ask the county to conduct an unofficial review if they believe their appraised value is inaccurate.
Requests can be submitted online at wakegov.com/taxprotal until March 1.
Beginning March 2, the Wake County Board of Equalization and Review will accept formal appeals.
The Wake County Tax Administration Office can be reached at 919-857-3800 or by email at email@example.com.