Chapel Hill, North Carolina Property Taxes
The median property tax rate in Chapel Hill, NC is 0.84%, slightly below the national median of 0.99% but higher than the North Carolina state median of 0.82%. With the median home value in Chapel Hill at $430,876, the typical annual property tax bill reaches $3,547, surpassing the national median of $2,690. Property taxes in Chapel Hill are calculated based on the tax assessed value, which usually falls below the market value due to various exemptions such as primary residence and agricultural exemptions. Understanding Chapel Hill'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 Chapel Hill or another part of Chatham County, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Chapel Hill, North Carolina Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.84%
Estimate Property Tax Bill
$3,619
$3,359
Ownwell’s Chapel Hill Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Chapel Hill with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Chapel Hill 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 Chapel Hill, North Carolina
Property taxes in Chapel Hill, North Carolina, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Chapel Hill is 0.84%, which is notably lower than the U.S. national median of 0.99%. Local government entities within Chapel Hill set these rates annually, and they can vary significantly across different neighborhoods. Each year, Chapel Hill 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 Chapel Hill's effective property tax rate to other areas in Chatham County and the national median. For comparison, the 27516 zip code has the highest median property tax rate of 0.85%, while the 27517 zip code has the lowest median tax rate of 0.84%. Understanding how these areas compare with Chapel Hill provides valuable insights into the varying tax landscape across Chatham County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Chapel Hill Tax Rate
0.84%
Average Chatham County Tax Rate
0.85%
Average North Carolina Tax Rate
0.82%
Average United States Tax Rate
0.99%
Property Tax Rates Across Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | 0.81% | 0.84% | 0.85% | 0.85% | 0.87% |
| 27517 | 0.81% | 0.82% | 0.84% | 0.85% | 0.86% |
Source: Ownwell
Property Tax Assessment Values Across Chapel Hill, North Carolina
In Chapel Hill, 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 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 Chapel Hill, 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. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. For instance, zip code 27517 has the highest median tax bill at $4,106, while zip code 27516 has the lowest at $3,206. Being aware of these valuation processes in Chapel Hill helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Property Tax Assessment Values Across Chapel Hill, North Carolina
Source: Ownwell
$48,190
$383,977
$719,763
Average Chapel Hill Assessed Value
$430,876
Average Chatham County Assessed Value
$323,510
Average North Carolina Assessed Value
$197,136
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | $235,873 | $315,856 | $389,668 | $455,246 | $529,219 |
| 27517 | $225,881 | $387,517 | $503,058 | $647,888 | $847,768 |
Source: Ownwell
Property Tax Bills Across Chapel Hill, North Carolina
Property tax bills in Chapel Hill, located in Chatham County, NC, are calculated based on the assessed value of a property and the local tax rate. The assessed value is determined by the county assessor and reflects the market value of the home. For instance, with a median home price of $430,876, homeowners can expect their property tax to be calculated using the local tax rate applied to this assessed value. Several factors influence the final tax bill, including property size, location, and any applicable exemptions. In Chapel Hill, the tax bill can vary significantly, with the 25th percentile paying around $2,729, while those in the 75th percentile face bills closer to $4,499. Homeowners in the 90th percentile may see tax bills as high as $5,901. The highest median tax bill in the area is $4,106, found in the 27517 zip code, whereas the lowest median is $3,206 in the 27516 zip code. These variations can significantly impact homeowners, influencing their monthly expenses and overall financial planning.
Average Chapel Hill Tax Bill
$3,547
Average Chatham County Tax Bill
$2,675
Average North Carolina Tax Bill
$1,615
Average United States Tax Bill
$2,690
Property Tax Bills Across Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | $1,817 | $2,574 | $3,206 | $3,744 | $4,396 |
| 27517 | $1,815 | $3,083 | $4,106 | $5,300 | $6,924 |
Source: Ownwell