Wake County residents, did you receive a notice in your mail earlier this month about a change in your property’s tax value as a result of the 2020 reappraisal that went into effect January 1, 2020? According to WRAL.com, “around 395,000 notices were sent to residential and commercial real estate property owners,” so there’s a good chance you were one (or more) of them!
Here at Hillman Real Estate Group at eXp Realty, we know some of these types of notifications can be clear as mud, so let’s break down the five things you need to know about this process that comes around every four years. Which, by the way, we think is an improvement over prior eras where it occurred only every eight years. (In our humble opinions, that’s just too long to go without re-evaluating values in a popular area such as ours!)
1. Nothing is Final… Yet
Wake County’s Fiscal Year 2021 Budget will not be adopted until June, so the actual property tax due could change. The notices provided were more so guidance on the reassessed value of your property than it was meant to be an indicator of an upcoming billing change.
2. Want to Peek at Your Estimated Bill? There’s a Link for That
Wake County’s “Revenue-Neutral Tax Calculator” is where you can begin to estimate how your annual property tax bill might be adjusted, likely up. (We’re not banking on many properties declining in value given our area’s continual rise and ranking on many “Best Places to…” lists.) It also gives you an easy look at the percentage change.
3. Save Ahead to Avoid Sticker Shock
For those who are currently paying a mortgage with property taxes escrowed, and thus, included as part of your monthly payment, your mortgage company will likely readjust escrow values on an annual basis. If you’re worried about having to pay a large difference if it doesn’t happen in a timely fashion, go ahead and start saving in increments each month so you can tackle a one-time payment, if needed.
4. Consider the Impact to Your Insurance Coverage
Now might be a good time to ping your friendly homeowner’s insurance agent and do a check-in on your coverage. How is your property value currently listed with your provider? Will that be changing at all in the near future? Are you fully covered or underinsured? We are advocates for having an “annual checkup” for your personal health, as well as your financial health, and an open line of communication with your insurance agent is a great place to start!
5. Remember, We Rarely Consider Property Value When Setting the List Price of Your House
Say what??? That’s right. We largely only take a look at your property value and tax when it comes to accounting for taxes. There are many far more important factors to consider when it comes to selling your property including recent market activity, comparable listings of size and quality that are nearby, and much more. Curious about your house’s real market value? Let us do the calculations – instantly!
Bonus: Before You Complain Too Much About Your Tax Bill…
If you’re feeling the sticker shock, before you complain too much you might take a peek at just one of celebrity power duo Jay-Z and Beyonce’s tax bills. The pair “reportedly owe $1.05 million per year in property taxes alone on their Bel Air mansion,” according to Realtor.com. Now that is quite the tab.
Do you still have questions or concerns? Call or email us anytime to talk about real estate! 919-877-6708 or Renee@HREGSells.com