Chapel Hill, North Carolina Property Taxes
The median property tax rate in Chapel Hill, NC is 1.67%, considerably higher than both the national median of 0.99% and the North Carolina state median of 0.82%. With the median home value in Chapel Hill at $373,700, the typical annual property tax bill reaches $5,654, exceeding the national median of $2,690. Property taxes in Chapel Hill 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 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 the city, 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
1.67%
Estimate Property Tax Bill
$6,241
$5,791
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, are vital in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Chapel Hill is 1.67%, higher than both the North Carolina state median and 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 counties in North Carolina and the national median. For comparison, the 27517 zip code has the highest median property tax rate of 1.67%, while the 27516 zip code has the lowest median tax rate of 1.66%. Understanding how these cities compare with Chapel Hill 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 Chapel Hill Tax Rate
1.67%
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 Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27514 | 1.17% | 1.65% | 1.67% | 1.70% | 1.75% |
| 27516 | 1.00% | 1.17% | 1.66% | 1.69% | 1.71% |
| 27517 | 1.19% | 1.63% | 1.67% | 1.70% | 1.73% |
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 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 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. The median home price in Chapel Hill is $373,700, with tax bills ranging significantly. The highest median tax bill is $6,585 in the 27514 zip code, while the lowest is $5,260 in the 27517 zip code. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. 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
$30,900
$291,050
$551,200
Average Chapel Hill Assessed Value
$373,700
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 Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27514 | $138,160 | $243,600 | $419,000 | $605,800 | $826,280 |
| 27516 | $157,860 | $243,600 | $362,600 | $515,300 | $674,080 |
| 27517 | $167,000 | $243,375 | $337,850 | $573,225 | $938,960 |
Source: Ownwell
Property Tax Bills Across Chapel Hill, North Carolina
In Chapel Hill, located in Orange County, NC, property tax bills are calculated based on the assessed value of a home, which is determined by the county's tax assessor. This assessed value is then multiplied by the local tax rate to determine the annual property tax bill. Factors such as property size, location, and market conditions influence the assessed value. For homeowners in Chapel Hill, the median home price is $373,700. The property tax rate in Chapel Hill results in varying tax bills across different percentiles. For example, the 25th percentile tax bill is $3,430, while the 75th percentile reaches $8,418, and the 90th percentile climbs to $11,591. The highest median tax bill in the area is $6,585 in the 27514 zip code, while the lowest is $5,260 in the 27517 zip code. Compared to the national median property tax rate of 0.99%, Chapel Hill's tax rates can significantly impact homeowners, influencing their annual financial planning and overall cost of living.
Average Chapel Hill Tax Bill
$5,654
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 Chapel Hill, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27514 | $2,292 | $3,792 | $6,585 | $9,464 | $12,874 |
| 27516 | $1,908 | $3,198 | $5,288 | $7,804 | $10,156 |
| 27517 | $2,792 | $3,822 | $5,260 | $8,544 | $14,103 |
Source: Ownwell