The total taxable value of Richmond real estate rose 7.3 percent in new tax assessment notices mailed to city property owners this week, the biggest year-over-year increase in a decade.

The average assessed value of a Richmond home jumped from $228,000 to $247,000, an 8.3 percent bump that means the average residential tax bill will increase $228.

Commercial and multifamily properties saw a slightly smaller increase, rising 6.1 percent on strong growth in Manchester and Scott’s Addition.

Experts said the increase reflects the intensely competitive Richmond real estate market after a spring sales season that saw many houses — particularly those priced below $300,000 — sold within a few days of hitting the market.

The 7.3 percent overall change is dramatically higher than other recent year-over-year increases. In 2017, property values rose 3.5 percent, building on a 3 percent increase in 2016.

This year’s percentage increase was the highest since 2008, when taxable values rose 8.1 percent.

“We haven’t had a market that has been as hot as it is now,” said City Assessor Richie McKeithen, whose office is tasked with estimating the fair market value of city properties each year. “We’re just experiencing what other parts of the country are experiencing as far as increased real estate values.”

Property values in the city grew at a faster rate than neighboring counties. In Henrico County, total taxable values went up 4.7 percent. Chesterfield County saw a total increase of 3.7 percent.

The city budget passed in May projected a 6.8 percent increase in taxable real estate value, which gave Mayor Levar Stoney and the City Council roughly $19.7 million in extra revenue. Because assessments came in slightly higher than projected, the city could see even more new real estate revenue. But the final amount will depend on how many assessments are appealed and how many tax bills are actually paid.

Residential property values were up throughout the city, but the biggest increases were seen in the Randolph, Stadium and Creighton/Fairmount assessment areas, which all saw taxable values rise more than 20 percent.

“I actually think this is reflective of a really healthy market because where you’re seeing these kinds of spikes, they’re diverse neighborhoods,” said Laura Lafayette, CEO of the Richmond Association of Realtors. “So it suggests to me we’re attracting a variety of kinds of buyers and renters and we are providing different choices. And those choices are really attractive.”

The Fan and Museum districts, the neighborhoods with the highest total taxable value, saw assessments rise 9.6 percent and 10.8 percent, respectively.

Richmond’s real estate tax rate is $1.20 per $100 of assessed value. The new assessments will be used to calculate tax bills mailed to city property owners next year.

Even though higher assessments lead to griping about higher tax burdens, Lafayette said, there’s a bright side.

“I’m not suggesting people who are on fixed incomes won’t see this as a challenge. And it can be a challenge,” Lafayette said. “But for the majority of homeowners, this is good news. Because it means that their primary investment continues to increase in value.”

Richmond tax assessments 2019 changes by neighborhood

* Note: The numbers for the two Woodland Heights assessment areas are distorted because several parcels were taken out of one neighborhood and placed in the other, according to City Assessor Richie McKeithen.

Name % Change
Woodland Hghts N * 42.48%
Old Randolph 29.71%
Manchester 22.68%
City Stadium Area 21.08%
East End - Fairmont/Creighton 20.63%
Bainbridge/Manchester/Blackwell North 19.01%
Scotts Addition 18.45%
Midlo / Belt / Broad Rock 18.21%
Franklin School North 17.55%
Bellevue Park 17.09%
Highland Park Plaza 16.43%
Clydewood Park 15.30%
Condos - Central 15.13%
George Wythe South 14.96%
Wendall Farms 14.95%
Providence Park 14.89%
MF Central 14.69%
Riverview/Maymount Terrace 13.87%
McGuire 13.72%
Oakwood 12.79%
Providence Park 12.65%
Carver / Newtowne West 12.21%
Rosewood/Idlewood 12.18%
Jeff Davis 11.50%
Oregon Hill 10.90%
Museum District 1 10.82%
Maury/Swansboro 10.46%
Hammond Place/South Battery Court 9.89%
Westover Hills 9.75%
Fulton Area A/New George Mason 9.58%
Fan District 1 9.58%
Worthington / Elhardt / Ried 9.31%
Newtown South 9.25%
Battery Court 9.19%
Chestnut Hills 9.10%
Ginter Park 8.94%
East End 8.88%
Fan South to RMA 8.79%
Westhampton Hghts/College View 8.61%
Westmoreland/StaplesMill 8.50%
Barton Heights 8.35%
Condos - Downtown 7.99%
Stratford Hills/Cherokee Est. 7.69%
Beaufont Hills North 7.68%
Fairfield 7.63%
Cherokee Hills/Fairway Acres/Windsorview 7.63%
Oak Grove 7.59%
Highland Park-North 7.49%
Twin Valley/Old Gun/Hobby Hill 7.47%
Beaufont Grove 7.38%
Willow Creek/Pine Needles 7.28%
Shockoe 7.23%
Bellevue South 7.13%
Condos - High Rise 6.99%
Brookbury 6.99%
New Randolph 6.95%
Granite Hill 6.89%
Jackson Ward 6.88%
Carytown 6.77%
Montrose Heights 6.55%
Westover Hlls Annx/Frst Hll Pk 6.53%
Thomas Jefferson 6.42%
SouthHampton/Oxford 6.42%
South Garden / Hull / Warwick 6.35%
Davee Gardens/Castlewood/Summerhill 6.33%
S of Crytwn/N of RMA 6.30%
Bellemeade North 6.21%
Snead Rd/Brookhaven 6.00%
North Side 5.86%
Colonial Pl/Patterson Pl 5.84%
Warwick / Swanson 5.80%
Tobacco Row/Undertakers Row 5.39%
Hermitage/Sherwood Pk 5.37%
Condos - West 5.36%
MF Downtown 5.26%
Whitcomb Court/ Mecklenburg 5.06%
Saint Christophers 4.98%
MF West 4.84%
Hampton Gardens 4.80%
Fulton Area B 4.79%
Fan/Near West 4.67%
Hull St 4.58%
Traylor Estate/Huguenot Farms 4.49%
Willway Gdns/Stonewall CT 4.39%
Downtown 4.35%
Washington Park 4.24%
Windsor Farms/Rothesay 4.09%
Bellevue North 3.93%
Westham/CCV 3.89%
VCU 3.88%
W Ginter Pk/Cheverly/Rosedale 3.84%
Church Hill 3.78%
Glenburnie/Tuckahoe 3.44%
Ampthill/Hmptn Hlls/Hillcrest 3.25%
Westmoreland/Lockgreen 3.20%
Jackson/Carver 3.04%
Southside 2.74%
Condos - South 2.25%
Monument Avenue 1.75%
Midlothian 1.59%
Broad St 1.53%
Condos - East 0.01%
Downtown -0.57%
BillBoards-Towers -0.77%
MF East -1.03%
Woodland Hghts S -17.36%

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