Wake County residents could face a property tax hike as early as tonight

WAKE COUNTY, NC (WNCN) — Wake County commissioners have been debating whether residents will have to pay more property taxes and Monday night approved a larger tax hike than the proposed budget.

The budget requires more funds, so leaders increase the tax rate to generate more revenue.

The proposed tax rate increase should be 1.5 cents for every $100 of appraisal recommended by the county manager.

However, the board added 0.45 cents more than recommended as of Monday night, according to a press release.

What does that look like for the 2023 financial year?

This brings the total tax rate to 61.95 cents per $100 property tax assessment. The owner of a home worth $337,000, which is the median appraised home value in Wake County, would pay about $66 more per year compared to fiscal 2022.

The new tax increase will be 1.95 cents, which will generate $38 million in revenue, Wake County officials said.

CBS 17 crews got answers as to why this might need to happen as property values ​​soar.

“Wake County is one of the most important growth counties in the entire country,” said local economist Mike Walden.

Construction is going on all over Wake County.

Whether it’s new office buildings or new homes, more and more people are coming to the Wake County area.

“As you add more people here, the usage of public services goes up,” Walden said. “If you want the quality to stay the same, you often need more people, more infrastructure.”

For this, the district has to put more money in its pocket.

Walden told CBS 17 that the current property tax rate and the current influx of people coming to the area don’t necessarily offset record inflation.

“Inflation is eroding wealth tax revenues,” he said.

For this reason, the district commissioners proposed raising the property tax rate for the first time in three years.

“One question that has been raised by some homeowners is… ‘Wait a minute, my house has gone up in value, why do they have to raise the interest rate to get more money?'” Walden said.

The answer is simple: people’s real estate values ​​are different than their property tax values.

“Due to tax reasons, homeowners’ home values ​​don’t change every year,” Walden said. “Every four years, the district carries out an evaluation of your house.”

The last time this happened was in 2020, when the median home price in Wake County was $296,000.
In two years, that price rose to $158,000.

“If the commissioners want more money, more property tax money from your house or my house, they have to raise the tax rate. Because the value is fixed, it’s the same,” Walden said.

But it’s not permanent.

Commissioners have an opportunity to lower property tax rates after the next round of property valuations is completed in 2024.

https://www.cbs17.com/news/local-news/wake-county-news/wake-county-residents-could-face-property-tax-hike-as-soon-as-tonight/ Wake County residents could face a property tax hike as early as tonight

Dais Johnston

USTimeToday is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – admin@ustimetoday.com. The content will be deleted within 24 hours.

Related Articles

Back to top button