The results of a countywide real estate revaluation were presented to the Orange County Board of Commissioners during a meeting held last week.
According to Dwane Brinson, the director of the Orange County Tax Office, the overall tax base for commercial properties in the region increased significantly.
“Commerical property countywide, including new construction, including everything else I just talked about — the tax base is going up 39 percent,” he reported.
This increase is in stark contrast to a marginal decrease in the overall tax base that was also reported by Brinson regarding residential properties throughout the county.
“There’s actually a slight decrease in the residential tax base countywide — not enough to constitute even a one-percent change, but nonetheless, there’s a slight decrease,” he admitted.
Decreases notwithstanding, Hillsborough dwarfed Chapel Hill, Carrboro and Mebane with a 22-percent increase in its residential property tax base.
“That is because of all the new developments in Hillsborough,” explained Brinson. “It really affects this tax base figure you’re looking at.”
Brinson also relayed that the valuation of apartments in the county increased by 61 percent along with a 45-percent increase in the valuation of industrial property.
“I’ve seen the news articles to verify that; I’ve seen the market sales we have to verify that,” he claimed. “They really, really have gone up in value here recently, the apartments.”
In determining appraisal equity, Brison explained that his office followed technical standards created by the International Association of Assessing Officers.
“A ratio of 1.1 says that we’re overassessing; it says that the assessment is 10 percent above market value,” he stated. “A sales ratio of [0.90] says that the assessment is 90 percent of market value.”
According to those metrics, the most recent appraisals of single-family residential properties across the county are congruent with current market values.
“Single-family residential: our actual ratio for the 2017 [revaluation] is one, so we are right on with market value,” alleged Brinson.
The Orange County Tax Office will mail new appraisal values on March 3 to property owners, who will have an opportunity to appeal the revaluation by April 30.
Image by Orange County Tax Office.