City property assessments are rising most rapidly in a handful of low-income neighborhoods that are near heavily gentrified areas in West Philadelphia, according to an Inquirer analysis. Homeowners in Kingsessing and Parkside this year will see some of the sharpest spikes in their real estate assessments, which the city uses to determine property tax bills. In Kingsessing, the average assessment increased just over 50%, the highest increase of any neighborhood in the analysis, which was focused on single-family homes and was based on data the city posted online. But for now, tax bills will remain relatively low for most homeowners in those neighborhoods, at less than $500 for many residential properties. That’s because property values are lower there than other parts of the city and because city council this year increased the homestead exemption tax break so that owners of homes worth less than $100,000 owe nothing. Mayor Cherelle L. Parker announced that the tax bill for the average homeowner will increase about $330 to about $2,300 — assuming they are signed up for the homestead exemption, a free program that reduces the assessed value of owner-occupied properties by $100,000. The tax bill for the average residential property without the exemption will increase by $614, according to an administration document obtained by The Inquirer. The property tax rate is 1.3998% of assessed value.
Source: Philadelphia Inquirer; 8/8/2024