BOSTON – We’ve all seen the hot real estate market when prices went up, but what is also going up is property tax.
“It’s amazing,” said Jim McGlane of Medfield.
McGlane has lived in Medfield for nearly 15 years and says property taxes keep rising.
“You seem to know … sneak up on you every year,” he said.
McGlane is not alone. In nearby Westwood, Donna Ferragamo has had enough.
“My taxes only increased incredibly last year,” said Ferragamo.
Massachusetts homeowners can expect some of the largest annual property tax bills in any state in the country. The average annual property tax payment in the state is $ 4,899. The government’s average effective tax rate of 1.17% is above the national average, according to SmartAsset.
The state requires an assessment every year.
“Massachusetts real estate is re-valued every year,” said Keren Horn, associate economics professor at UMass Boston.
And she says lifelong residents will really feel that pinch.
“People who will be surprised, or have already been surprised, are the long-term homeowners,” said Horn.
As house prices continue to rise, many people are concerned that property taxes may soon follow suit. We asked how long it might be before some people are priced out of their own neighborhoods.
“We are being priced. I have to think about moving in the next few years, ”said Ferragamo.
So what can residents do?
“Most cities have exemptions for people with fixed incomes,” said Horn.
That is something to check out in your city. The city of Everett saw this and actually lowered its property tax rate to keep residents down.
“They are very aware that people struggle not to make their payments. So what are you doing? They responded by lowering their property tax rate, ”said Horn.
But Horn says property tax is something most cities don’t want to tinker with, and that people like Ferragamo have no choice but to move.
“I have to do what I have to do. I have no choice. Or I’ll work for the rest of my life just to have my house, ”Ferragamo said