Philadelphia Tax Assessment

[Jerry Gentry]

Hi all,

I recently purchased a home for $227,000 in Mantua, Philadelphia. The home was a full rehab and I bought it with everything brand new. My current tax assessment is around $54,000 and annual tax bill is around $750. I understand assessments aren't going to go through until the 2022 tax year, but I am still trying to figure out what my tax bill will be in 2022 and so on. I know for Philly it is 1.3998% of the assessed value, so would $3,175.73 (227,000 x 1.3998%) be a good guess for 2022 and after ?

Thanks

[Kevin M.]

There is no real logical system in place for assessment values in Philadelphia. I will generally say for a property like the one you're describing- you will probably find the assessed value to be dramatically lower than the purchase price for a few years, maybe longer. So I would guess you only see a modest increase after 2022. The city doesn't seem to catch on to rehab value very quickly. Take a look at the public records for other rehabbed properties in your area. You will probably find them to be lower than sales price.

This can of course change at any time if Philly undergoes a change in their assessment process, which is frankly overdue.