DURHAM, N.C. — North Carolina is set to become the seventh most populated state over the next 10 years, expecting to reach an estimated 11.7 million people by 2030, according to the North Carolina Office of State Budget and Management. Two things impacted by all that growth are property values and taxes.

Charlotte, Wilmington, Raleigh, Cary and Durham are areas that have already approved or are proposing property tax increases for the upcoming fiscal year.

What You Need To Know

  • Charlotte, Wilmington, Raleigh, Cary and Durham are some areas that have already approved or are proposing property tax increases for the upcoming fiscal year
  • Both the City of Durham and Durham County approved a property tax increase for a combined 8.5-cent increase
  • That makes the new property tax rate for Durham residents $1.39 for every $100 of assessed property value
  • Larry Hester, a Durham native and businessman, says he’s concerned people are being priced out of the city altogether

When it comes to the Bull City, residents will be impacted by both the county and city’s increases, a total increase of 8.5 cents.

A home in Durham valued at $400,000 will have a total tax bill of about $5,580, which is up about $340 from last year.

Larry Hester, a homeowner and commercial property owner, says he’s worried about how this will impact property affordability in Durham. He owns a Durham shopping plaza so he’s been able to watch his son’s barber shop grow and his daughter’s restaurant thrive.

“They are very independent in their thinking. I’m just glad that they chose to be here,” Hester said.

Walking around outside, he knows exactly how long each of his tenants have been there, many of them for decades. He was born and raised in Durham, so it’s safe to say Hester has seen the Bull City change a lot.

“Durham is a growing community and growing means that people are coming from everywhere to be here,” Hester said.

Most recently, both the city and county approved a property tax increase of a combined 8.5-cent increase. That makes the new rate $1.39 for every $100 of assessed property value.

Whether someone’s a homeowner, business owner or both, Hester says every little bit adds up and is part of a domino effect.

“It's going to increase the rent on tenants who have to in turn increase the cost of their goods and services to the public,” Hester said.

Hester said he’s often thinking about the future, including if and when people, who call Durham home, will be priced out of the city all together.

“I think we have a freight train that just left the station that's going to be picking up steam,” Hester said.

Hester also says he’s concerned about this increase because there’s a property reappraisal next year. The county will decide new property values for the first time in five years, which could in turn increase property taxes even more.

The city says officials decided to raise the property tax rate in order to, “provide funding to fairly compensate city employees.”

The City of Durham shared an online resource, a property tax bill calculator, to help people figure out their new county and city tax bills based on their property value and these new rates.