It seems like property values in our area are skyrocketing faster than the SpaceX rocket! Property assessments have increased significantly, which might come as a shock to some of you. But before you get upset, let me clarify that this is a reflection of our sizzling-hot real estate market.
Revaluations are required by North Carolina Law. North Carolina General Statute § 105-286 requires each county to conduct a revaluation/reassessment (reappraisal) at least once every eight years to reflect current market value. Many counties including Brunswick County conduct their revaluations every four years. The last revaluation was effective January 1, 2019. This assessment is effective January 1, 2023.
People who buy and sell real estate in the open market establish market values. Our North Carolina State certified in-house appraisers diligently and carefully research and analyze those sales in our local market to determine an estimate of market value for all properties, as we are required to do by law.
Depending upon the data available and the type of property being appraised, there are several methods an appraiser may use to determine value:
Sales Comparison Approach – This is the method most commonly used and it compares your property with a similar one, plus or minus any adjustments.
Cost Approach – This method determines how much it would cost to replace your property with a similar one, less any depreciation.
Income Approach – This method determines the value of income producing properties, such as apartments, based upon the amount of income the property generates.
Property values will not change uniformly throughout the county. Depending on market conditions and recent sales in your neighborhood, your assessed value may increase, decrease, or remain the same. Due to the strong real estate market throughout the country, it is likely that many properties will rise in value, but again, this could differ per area and type of property.
The effects of the 2023 revaluation on your next tax bill cannot be determined until operating budgets are adopted and the county and municipal governing bodies have set tax rates for the next fiscal year. Budgets are adopted and tax rates are set prior to July 1 each year.
There are three factors that determine how much tax each property owner must pay:
The assessed value of the property
The cost of local government-provided services that the residents of the county require
The tax rate set by the Brunswick County Board of Commissioners and your municipality (if you live in an incorporated town, city, or village) to meet the cost of government-provided services
Revaluations do not reflect what a property owner’s tax bill will be. The assessed value of your property is only one factor that impacts your property tax bill. Tax rates are set
by the Board of Commissioners and municipalities’ elected officials annually as part of their fiscal year budget cycles. The next county and municipal tax rates will be set prior to July 2023.
If you have any questions about your tax bill, you should contact the Brunswick County Revenue office.
I hope this helps you better understand your reassessment letter. If it has you wondering what to do with your property, let’s chat.
UPDATE: DEADLINE TO APPEAL BRUNSWICK COUNTY 2023 ASSESSED PROPERTY VALUES IS MONDAY, APRIL 24 AT 5 P.M.
For more information click here.
