If you live in Multnomah County you are probably wondering why your property taxes went up so much from last year. No pity from the Assessor’s Office as we navigate out of the pandemic. This in addition to 4 new tax measures passed in 2020 and 2021 in effect for 2022. Here’s our explanation for Multnomah County Property Taxes in 2022.
Why Did Your Property Taxes Jump This Year?
Each year your Portland home’s assessed value is multiplied by the going tax levy rate which is around 3%. However, in 2021 the County Assessor took note of Portland’s 16% real estate appreciation. They want to cash in on your increased equity. Property taxes have gone up over 8% in Multnomah County this year. However, you have until December 31st to challenge your property’s assessed value with comparable sales and data to prove lower values. Let me know if you need help with the process.
How Much New Taxes?
3 new tax measures were passed in 2020 and 1 additional in 2021. All four of these measures affect your 2022 property tax bill. Passed to fund new libraries, schools, parks and recreation and Oregon’s Historical Society. The cost is $1.46 for every $1,000 of assessed property value. So if your home’s assessed value is the Portland median of $560,000 that’s an additional $817 in levied taxes from the year prior.
New Multnomah County Income Taxes
There are also 2 significant new taxes that affect higher income earners within Multnomah County that took effect in 2021.
The Pre-School for All measurepassed in Multnomah County. The first of its kind measure is intented to provide tuition-free, high quality preschool to all 3-4 year olds within the County’s boundaries. The income tax is assessed for individuals making over $125,000 or $200,000 for joint filers, and an additional 1.5% on taxable income over $250,000 for individuals and $400,000 for joint filers.
To address the homeless crisis the Portland Metro passed the Homelessness Services Measure. The purpose behind this legislation was to raise funds for services assisting homeless residents across Multnomah, Washington and Clackamas Counties. The 1% income tax is imposed on individuals that work and live within the Metro making over $125,000, or $200,000 as joint filers.
These 2 taxes alone would raise your local Multnomah County taxes 4% if you make over $250,000 per year as an individual or $400,000 as a dual income household.
These new tax measures have had an impact on neighborhoods within Multnomah County. High home value and income zip codes, like the Southwest Hills 97219, have seen a flurry of +$1,000,000 home sales in 2021. Many higher earning Portlanders are trading their Multnomah residence for lower taxed Clackamas and Washington Counties. For now, out-of-state demand is filling the vacuum left from departing locals. Contact Josh if you’re thinking of moving to any of the Portland suburbs.He specializes in Washington County and the Lake Oswego community.