Property tax change in Philadelphia may cause owners to sell
When you prepare to include your property on the MLS Listings in Philadelphia, PA, you may want to go through with a home closing before proposed property tax increases are implemented in the city.
In an effort to raise funds for Philadelphia's school district, officials have drafted a plan to create a new system for determining property tax rates, the Philly Post reports. The new act would be called the Actual Value Initiative, and it would make property taxes a part of a home's value. City officials say the change may bring consistency to a tax system that many believe is outdated. However, the taxes could cause homeowners to sell more quickly, the news source reports.
Philadelphia's property values have more than doubled in certain neighborhoods, including University City, Northern Liberties and Queen Village, according to the Examiner. While the value of these homes has increased, taxes have remained relatively low and stable. As a result of the planned Actual Value Initiative, some residents may see a drastic increase in their taxes, which could cause people to list their homes for sale. Selling your home in the city of Brotherly Love before the tax goes into effect may help you get a good deal and find housing in areas where taxes won't be as high.