Homeowners in Kelowna can expect a modest property tax increase in 2024, as the City Council finalizes its budget with a focus on key areas impacting real estate. Here's a breakdown of what you need to know:
Property Tax Increase
- The 2024 budget includes a 4.76% increase in property taxes.
- This increase remains well below the average increase observed across the province, demonstrating the City's commitment to fiscal responsibility.
Crunching the Numbers
In 2022, the property tax rate for residential properties in Kelowna was 4.3047 per $1,000 of assessed property value. For a property assessed at $500,000, this rate translated into an annual tax payment of $2,152.35 (4.3047 x 500).
Projected 2024 Property Tax Rates
Following the 4.76% increase announced for 2024, the projected tax rate for residential properties adjusts to approximately 4.5095 per $1,000 of assessed value. This increment is calculated based on the previous rate adjusted for the 2024 increase:
New Rate Calculation for 2024: 4.3047 + (4.3047 x 0.0476) = 4.5095 per $1,000
Impact on the Same $500,000 Property in 2024
Assuming the property’s assessed value remains consistent at $500,000, the new tax rate impacts the annual tax as follows:
New Annual Tax for 2024: 4.5095 x 500 = $2,254.75
That's an extra $102.4 after the projected increase of 4.76%
Focus on Growth and Infrastructure
- The budget prioritizes investments in infrastructure projects that support Kelowna's growing population and enhance property values.
- $20.2 million is allocated for transportation infrastructure, including improvements to active transportation networks, park upgrades, and greenway expansion. These investments will improve overall accessibility and quality of life for residents.
Public Safety
- Public safety remains a top priority, with 35% of the general operating budget dedicated to this area.
- Investments include additional RCMP officers, firefighters, and bylaw enforcement personnel, contributing to a safer and more secure community – a crucial factor for many homebuyers.
Impact on Real Estate
- A focus on infrastructure development, public safety, and responsible financial management are all positive indicators for the Kelowna real estate market.
- These investments create a more attractive environment for residents and potential investors, potentially influencing property values in the long run.
Looking Forward
For those considering buying or selling property in Kelowna, staying informed about developments like the budget can provide valuable insights into the local market and future trends. Our team at Coldwell Banker Horizon Realty is here to assist you with all your Kelowna real estate needs. Contact us today for a personalized consultation.
Source: City Budget
