If you own a house, you probably were amazed by the new assessed value of your house shown in letters from the Assessor’s Office last month. The City hired Vision Government Solutions to conduct a revaluation of all real estate in the city. On average residential single and multi-family houses gained 40% to 60% in value over the last three years, according to Vision.
Great news if you are selling, but not for those of us staying put and paying Providence property taxes. Property taxes are set each year as a certain percentage of a property’s assessed value. The City Council re-sets the tax rate each year so that the amount collected citywide equals the annual budget. (Property taxes are the most significant source of revenue for the city.)
Tax rates will go up next year, but not nearly as much as valuations have. State law caps annual increases at 4% of the prior year’s total tax bill for all properties. However, Mayor Smiley has asked the state legislature to let Providence override the cap this year to cover increased city contributions to schools. This will result in an increased tax rate over all, but each individual property will be affected differently. The Mayor and the City Council will negotiate and approve the budget and the new tax rate between April and June. So you won’t know your new tax bill until June. The following are data from this most recent revaluation.
Source:
All charts are from 2024 Vision Government Systems Revaluation FY 2025
Project Update- Date: March 4, 2025
Jonathan Howard is Co-founder of Cause & Effect, Inc., a consulting company that provides strategic planning facilitation, fund development planning and board strengthening to mission-driven organizations. He is a long- time resident of Providence.
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