The proposed property tax rates playing out across Haywood County will disproportionately hike taxes for those with low-to-middle priced homes, while those with upper priced homes will likely see lower tax bills.
On paper, every Haywood town and the county are lowering their tax rates, but not by enough to offset the increase from a property revaluation. The property reval is a periodic squaring-up of property values on the tax rolls with the actual market value in real life.
Local governments aren’t lowering the tax rate enough to wash out the increase in property values — so the net result is a property tax increase for those who saw their home’s value go up by more than the average.
But how much of an increase, or even whether your bill slightly decreases, depends on how much each person’s property values went up compared to the average.
Homes in the lower-to-median priced range saw a larger jump in the reval compared to homes on the upper end. That’s due in part to the demand for lower priced homes driving up values more than the values on the upper end homes.
If someone’s property value jumped disproportionately, their tax bill will also jump disproportionately.
Here’s an example of how the proposed tax increase would affect homes of varying values in Waynesville. Despite the tax rate going from 49 cents to 45 cents, the lower to median priced homes that saw comparatively larger increases in value will see a larger increase in their tax bill.
• A homeowner with a $100,000 house that rose in value to $150,000 would end up paying $185 more in property taxes a year under the proposed tax rate. Their old tax bill would have been $490, compared to a new tax bill of $675.
• Someone with a $250,000 home that rose in value to $300,000 would pay $125 more in taxes. Their old tax bill would have been $1,225, compared to a new tax bill of $1,350.
• Someone with a $500,000 home that rose in value to $525,000 would pay $90 less in taxes. Their old tax bill would have been $2,450 compared to $2,360.