HONOLULU (KHON2) — Heads up to homeowners, real property assessments will be mailed out soon and valuations are up again. That means many will be paying higher property taxes.
It’s that time again … real property assessments go out this week and, overall, residential property values are up 2.6% on Oahu according to the city.
“Multiple years in a row we’ve seen increases,” Honolulu City Councilmember Andria Tupola said. “I want to say in the last assessment the North Shore was the highest one.”
This year the Leeward side has the highest increase at 7.7% according to Honolulu Budget and Fiscal Services Director Andy Kawano.
“Looking at our data for zone eight is that on the leeward side of Oahu, there are parcels that are much more affordable,” Kawano explained. “So supply and demand, more people want to buy properties, especially in Leeward Oahu, and we believe that’s what’s increasing prices in that area.”
Kawano said the increase in property value is a positive thing for homeowners because they are building equity. But he added that it does also mean higher taxes.
And that can be tough for a lot of residents.
“It’s really scary especially when you don’t know until the end of the year and then you get hit with taxes that you didn’t prepare for and to your point that you’re not making extra income to pay,” Tupola explained.
She said it’s particularly tough for residents whose homes have surpassed the million dollar mark even though the house itself hasn’t changed in decades, but that valuation forces the owner to pay even higher taxes
“We need local families to be able to afford to live here,” Tupola said.
She urges homeowners to make sure they apply for a homeowners exemption, which offers a slight tax break.
If anyone feels their property assessment isn’t accurate Kawano said they have until January 15th to take action.
Check out more news from around Hawaii
“When they get their notice. If they feel that the increases are overstated, they can appeal,” he said.
Click here for more information about Real Property Assessments.