Quite often, I will have buyers who will focus on homes whose asking price is close or below the tax value of the property. While some are a good deal, others are not as the relationship between the two is not as profound as one might think in North Carolina. In South Carolina, the two are one in the same. Let me explain.

In North Carolina, every few years, the county board of commissioners orders a property re-valuation as a way to increase tax revenue. The assessors are not appraising every property specifically but rather assigning it a value based on a generalized appraisal. In Union County, the average increase in value was 15% over the previous appraisal. The problem becomes with this method that in some neighborhoods, the tax value far exceeds the market value because of the pressure placed on our housing market. Areas like Marvin and Weddington have extremely high tax values in comparison to what the homes are actually selling for.

The best place to go to find the tax value of a property is to the local county's property record or GIS site. Often, the local MLS has old tax information so depending on the county, you may be looking at a 5 year old evaluation. Here are a few quick links to assist you in North Carolina:

• Union County NC
• Mecklenburg County NC (Charlotte)
• Cabarrus County NC

South Carolina is unique from North Carolina because the market values and the tax values in South Carolina directly correspond with each other. If you paid $200,000 for a house in South Carolina, your tax value going forward will be $200,000. So you will pay more than the neighbor next door but the buyer of his house will pay more when they sell. After 5 years, the property will be reassessed.

Jonathan Osman
Charlotte NC Homes