Chicago Area Property Taxes Soar To Record High Levels
This ARTICLE On Chicago Area Property Taxes Soar To Record High Levels Was PUBLISHED On August 11th, 2019
Chicago Area Property Taxes Soar to record levels.
- This holds true especially in Cook County and surrounding counties
- The areas most affected by the increase of Chicago Area Property Taxes is the Central and North Sides of the City
- Karen Yarbrough, the Cook County, Illinois Clerk announced the final calculations of the new property taxes for Cook County homeowners which are expected to hit homeowners with the new property tax assessment
- Average Chicago Area Property Taxes for both residential and commercial real estate increased over 3.7% throughout Cook County
- However, there are substantial differences in the Chicago Area Property Taxes increases depending on the area the parcel is located
In this article, we will cover and discuss the Chicago Area Property Taxes increases in Cook and surrounding counties and how it affects homeowners and those who are planning on buying a home.
Chicago Area Property Taxes Most Affected
The most affected area in Cook County with increases of property taxes is the City of Chicago. Michael Gracz, a senior vice president at Gustan Cho Associates and real estate and lending industry expert said the following:
Mike Gracz got his source on the above data from the Yarbrough’s Report.
Reasons For Property Tax Increase
One of the major factors that drive higher property taxes is higher real estate values. The North and Central sections of the city is generally the area with the highest property values. According to Cook County Clerk Karen Yarbrough:
With all of Chicago reassessed last year as part of the triennial revaluation, the total equalized value of all city real estate was up 12.5 percent, pushed by hikes of 12 percent to 20 percent in values in the north and central areas. But total equalized assessed valuation—or EAV—in north suburban areas dropped 2 percent, and slipped 3 percent in south and west suburban areas. The tax bills themselves are based on a combination of those values and how much in taxes schools and other local governments are seeking. The new tax rates effectively shift part of the property tax burden away from the long-depressed South Side to much more prosperous areas to the north, where the economy is solid and even booming. But with the city of Chicago facing a $700-million-plus hole in its 2020 budget, the new figures could pose a real political dilemma for newly installed Mayor Lori Lightfoot. Lightfoot will be tempted to fill part of the hole by tapping property taxes, a reliable revenue source. But if she does, much of the burden could fall on neighborhoods like Wicker Park, Lake View, Edgewater and North Center, where homeowners already may be in revolt once they see today’s new bills, which do not include any increase Lightfoot may order. Still, the fact that values are rising quickly in portions of the city is good news. That explains why the city’s overall property tax rate dropped even as the total tax levy went up. Overall, the total assessed value of all property in the county rose from $14.4 billion to $14.9 billion, up 5.1 percent.
The Cook County Clerk’s Office is not the office that implements the property tax levy which is the amount of money the County takes. The Clerk’s Office is to calculate and distribute the total revenues collected by property taxes by the new real estate assessments. The share a particular homeowner and/or property owner is billed is dependent by the amount the Clerk divides the total revenues of taxes by the new assessments.
Many Are Fleeing Illinois To Other States Due To High Taxes
Illinois has the second-largest property tax average in the Nation. New Jersey is the highest property taxed state in the Nation. Illinois comes in second. High property taxes are not the only issue Illinois has. Illinois is one of the highest-taxed states for other taxes. Income taxes, gas taxes, sales taxes, and other taxes are among the highest in Illinois than other states. After the election of Democratic Governor JB Pritzker, the state has been in a binge of increasing any taxes they can. Pritzker’s polls are setting records of JB Pritzker being the worst Illinois governor in history. Many folks in Illinois are leaving the state to other lower-taxed states. In general, property values are decreasing while property taxes are increasing in Illinois. Coupled with Pritzker’s incompetence and Pritzker’s recent federal criminal investigation, Illinois has a long road ahead. The Pritzker Administration seems to be clueless and seem to believe that raising taxes is the solution to their problems. They have no plan for reducing spending while increasing property taxes. Stay tuned. This is a developing story we will update our viewers.