Hillsborough, North Carolina Property Taxes
The median property tax rate in Hillsborough, NC is 1.02%, slightly higher than both the national median of 0.99% and the North Carolina state median of 0.82%. With the median home value in Hillsborough at $265,400, the typical annual property tax bill reaches $2,939, surpassing the national median of $2,690. Property taxes in Hillsborough are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Hillsborough's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Hillsborough or another part of the city, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Hillsborough, North Carolina Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.02%
Estimate Property Tax Bill
$2,707
Ownwell’s Hillsborough Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Hillsborough with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Hillsborough to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’re interested in seeing trends on a neighborhood level, scroll down to find more localized information. Your property’s assessed value is the value assigned by the county for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Hillsborough, North Carolina
Property taxes in Hillsborough, North Carolina, are essential for funding crucial local services such as public schools, road maintenance, and emergency services. The median tax rate in Hillsborough is 1.02%, higher than both the North Carolina state median and the U.S. national median of 0.99%. Local government entities within Hillsborough set these rates annually, and they can vary significantly across different neighborhoods. Each year, Hillsborough estimates its required budget to maintain services for the upcoming fiscal year, then divides this budget by the total value of all taxable property within the jurisdiction to calculate the property tax rate. While tax rates and budgets are influenced by laws and voter input, this calculation forms the basis of setting property tax rates. The data below compares Hillsborough's effective property tax rate to other counties in North Carolina and the national median. For comparison, the 27278 zip code has the highest median property tax rate of 1.02%, while the same zip code also has the lowest median tax rate of 1.02%. Understanding how these cities compare with Hillsborough provides valuable insights into the varying tax landscape across Orange County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Hillsborough Tax Rate
1.02%
Average Orange County Tax Rate
1.31%
Average North Carolina Tax Rate
0.82%
Average United States Tax Rate
0.99%
Property Tax Rates Across Hillsborough, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27278 | 0.94% | 0.97% | 1.02% | 1.49% | 1.53% |
Source: Ownwell
Property Tax Assessment Values Across Hillsborough, North Carolina
In Hillsborough, North Carolina, understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes. The market value is the price a willing buyer would pay a willing seller in an open and competitive market, influenced by factors like location, property condition, and economic trends. This value is estimated by the Orange County Appraisal District for tax purposes. In contrast, the assessed value is the market value minus any applicable exemptions or limits based on local laws and available programs. The assessed value is then used to calculate your property taxes by multiplying it by the combined tax rates of all relevant taxing entities. In Hillsborough, assessment notices are typically mailed out in the spring, usually by mid-April. These notices provide homeowners with both the market and assessed values, along with an estimate of the annual property tax bill. The median home price in Hillsborough is $265,400, with tax bills ranging from $1,756 at the 25th percentile to $5,959 at the 90th percentile. Notably, the highest and lowest median tax bills are both $2,939 in the 27278 zip code. By understanding these valuation concepts, property owners can better navigate their tax responsibilities and identify opportunities for protesting assessments or applying for exemptions to effectively manage their tax burden.
Property Tax Assessment Values Across Hillsborough, North Carolina
Source: Ownwell
$30,900
$291,050
$551,200
Average Hillsborough Assessed Value
$265,400
Average Orange County Assessed Value
$295,700
Average North Carolina Assessed Value
$197,136
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Hillsborough, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27278 | $90,500 | $163,250 | $265,400 | $387,000 | $532,280 |
Source: Ownwell
Property Tax Bills Across Hillsborough, North Carolina
In Hillsborough, NC, property tax bills are calculated based on the assessed value of a home, which is determined by the Orange County tax assessor. The assessed value is then multiplied by the local tax rate to determine the annual tax bill. For instance, with a median home price of $265,400, the tax bill can vary significantly. Homeowners in the 25th percentile can expect to pay around $1,756, while those in the 75th percentile might see bills as high as $4,290. At the 90th percentile, the tax bill can reach up to $5,959. These variations are influenced by factors such as property improvements, neighborhood developments, and market conditions. Compared to the national median property tax rate of 0.99%, Hillsborough's rates can result in higher tax bills, reflecting the area's property values and local government funding needs. This can significantly impact homeowners, affecting their annual budgeting and long-term financial planning.
Average Hillsborough Tax Bill
$2,939
Average Orange County Tax Bill
$3,822
Average North Carolina Tax Bill
$1,615
Average United States Tax Bill
$2,690
Property Tax Bills Across Hillsborough, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27278 | $1,000 | $1,756 | $2,939 | $4,290 | $5,959 |
Source: Ownwell