Juneau, Alaska (KINY) - The City and Borough of Juneau sent 2023 property assessment notices to Juneau property owners on Friday, March 3.
A CBJ property assessment is the Assessor's determination of the fair market value of your property as of January 1, 2023. 2023 assessments reflect a continued steep increase in residential property values, alongside a more moderate increase in commercial property values.
For residential properties, values for single-family homes in Juneau went up by 16% on average over the last year. This market activity is reflected in CBJ's 2023 property assessments. The increase in value was driven by a high demand for homes, low supply of new homes, and rapidly rising building costs. Average assessment increases for single-family homes by neighborhood range from as little as 10% in the Casey Shattuck (Flats) neighborhood to as much as 21% in the Juneau Townsite (Downtown) and Northeast Valley neighborhoods.
Residential properties become worth more when people are willing to pay more. 2022 saw about 600 residential sales in Juneau; CBJ has sale prices for roughly half of them. Here are details on what drove residential property values up:
- With so many buyers in the market and so few homes to buy, sale prices tended to exceed asking prices. In the 2022 housing market, it was not uncommon for sellers to receive multiple offers including escalating contingencies from buyers trying to make sure they were not out-bid. Some homes were purchased with additional cash above and beyond what could be financed based on a market appraisal.
- Inflationary pressures and low liquidity in the marketplace continue to drive sale prices within the Juneau market to higher levels.
- Recent data indicates that the national residential housing market has begun to soften following a peak in June 2022 but clear evidence illustrates that this trend is not occurring at a local level.
Generally, commercial property assessments did not go up at the same rate as residential. Overall, commercial assessed property values increased 6% from 2022 to 2023. Sales information continues to be a challenge for commercial assessments. In 2022, there were 52 recorded market transactions CBJ is aware of. CBJ has confirmed sales information on only 29 of these transactions.
Why do CBJ assessments matter?
Your property taxes are calculated by multiplying your assessed value with the millage rate, so it is important that your assessed value is accurate. Until the Juneau Assembly finishes next year's city budget and sets the property tax rate in June, no one knows exactly what their individual property tax bill will look like. The Assembly has the authority to reduce or increase the mill rate, or keep it flat.
CBJ sent out property assessment notices on March 3, 2023. If you think your property was inaccurately assessed, you must file a petition for review by Thursday, April 3, 2023 at 4:30 p.m.
Please note that the online Assessor's Database is currently in the process of being updated and parcels may not reflect 2023 values. Updates are anticipated to be complete by end of day Monday, March 6.
If you have questions or concerns about your valuation, please contact the Assessor Office at (907) 586-5215 or Assessor.Office@juneau.org for assistance.
As a reminder, petitions for review can be filed electronically. Staff are here to assist you in any way to ensure your petition is filed and received. Download the petition for review form online or visit juneau.org/finance/assessor-forms.
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