Property tax changes for NC? Republicans in House look at relief for homeowners
AI-generated summary reviewed by our newsroom.
- House forms 23-member committee to study property tax relief and reform.
- Committee will examine relief programs, revaluation frequency and revenue impacts.
- Increased property taxes across the state led to Speaker Destin Hall wanting reform.
The North Carolina speaker of the House is detailing more of his plans to change property taxes in the state, designed to ease the burden of increased local taxes on homeowners.
The News & Observer first reported that House Speaker Destin Hall, a Caldwell County Republican, wants to reform property tax law and look at exemptions.
Now a new group of lawmakers will take a closer look at state property tax laws, which could bring change to homeowners feeling the pressure of high tax bills. Local governments use property taxes to fund services ranging from schools to police to roads. Taxes go up for many homeowners who live in growing areas with increasing housing costs as property values rise.
On Monday, Hall named 23 House members to a new committee. It’s chaired by Republicans, who control the House. Its members are tasked with finding ways to “reduce the property tax burden on taxpayers in North Carolina” and to “consider reforms that provide property tax relief to taxpayers while balancing potential impacts on local government revenues.”
Here are the property tax reform options the General Assembly will consider:
Homeowner property tax changes
- The committee will look at current property tax relief programs and consider modifying or expanding them; and
- Changing the frequency of property revaluations for homeowners.
State law requires property value reassessments every eight years, but some counties do them more frequently, including Wake County, which earlier this year moved to a cycle of every two years, The N&O previously reported.
Scrutiny of local government spending, taxation
The committee will take a closer look at how local governments levy property taxes. It will:
- “Analyze potential impacts and options to address local government revenue reductions, including reimbursement mechanisms and additional revenue-generating authority;” and
- Look at why local governments are increasing property tax rates, by “reviewing local government debt and spending levels.”
Why Speaker Hall wants property tax reform in NC
Hall told The N&O in a November interview that when he’s traveling across the state, he hears more about property tax costs than the current debate between the House and Senate over future income tax cuts, which has stalled budget negotiations.
“We’ve seen all across the state, especially here in Wake County, but in Caldwell, where I’m from, as well, we’ve seen real estate values go up sometimes 100%, just over four years or so. And it’s made the tax bills go through the roof,” Hall said.
“Local governments have to pay for ambulances and fire trucks, and they’ve got to have money to do those things. So that’s another thing we’re starting to look at, on our side, is how can we provide some property tax relief to folks in the state and making sure people aren’t losing their homes because they’re having to pay a big property tax bill,” he said.
Which House members will have a say
The new House Select Committee on Property Tax Reduction and Reform is co-chaired by Reps. Julia Howard of Davie County, Erin Paré of Wake County and Mitchell Setzer of Catawba County — all high-ranking Republicans. Howard and Setzer are both senior chairs of the House Finance Committee and Paré is a budget chair. Setzer is also House speaker pro tempore.
“I know how hard North Carolina families work to build stability in the home, and they shouldn’t be hit with out-of-the-blue property tax spikes that threaten that,” Howard said in a statement. She said “by thoroughly reviewing our state’s property tax system, we’ll deliver practical, commonsense reforms that give homeowners the relief, fairness, and transparency they deserve.”
Setzer and Paré both said housing affordability should be balanced with local government needs.
There are 20 more House members on the committee — 12 more Republicans and eight Democrats. The committee plans to finish its work, and submit any proposed legislation, before the 2026 session begins. The 2025 session has not yet officially adjourned, though there are no voting sessions scheduled.
Any legislation that passes the House would also have to be passed by the Senate, which is also controlled by Republicans, before going to the desk of Democratic Gov. Josh Stein to sign or veto.
