2024 BC Assessment

The 2024 BC assessments have been released, and as always, seem to bring with them more questions than answers. The assessments, reflect the value of properties on July 1, 2023  and are released annually by the BC Assessment Authority to provide a comprehensive overview of the real estate market in British Columbia. They serve as a general reference of property values and aid taxation authorities is determining individual property tax obligations for the upcoming year. 

BC Assessment's website at bcassessment.ca includes more details about 2024 assessments, property information and trends such as lists of 2024's top valued residential properties across the province. The website notes that “Changes in property assessments reflect movement in the local real estate market and can vary greatly from property to property. When estimating a property's market value, BC Assessment's professional appraisers analyze current sales in the area, as well as considering other characteristics such as size, age, quality, condition, view and location.” 

While property taxes are calculated based on the assessed value of a property, your assessment doesn’t directly correlate to changes in your tax bill. Municipalities use the assessment to determine what percentage of the total tax bill your home will be responsible for. Municipalites set their tax rate based on their budgets and then determine how much each household will need to contribute.The key factor to look it is how your home’s value changed relative to those in your community. If your home’s value increased relative to your neighbours, then yes, you may see a higher relative tax increase, but if your home increased at the same rate, than likely your taxes will stay constant relative to your neighbours.  

While the assessments provide a comprehensive overview of the real estate market, it's important to remember that they are not a completely accurate representation of a property's value to buyers and sellers. Various other factors, such as specific location, improvements, property condition, and market demand also play a significant role. Additionally, buyers will value properties differently based on the new rental rules imposed by the Province and those effects will be recognized in next year’s assessments.

"Most homeowners throughout the Southern Interior can expect modest changes and even some decreases in their assessment values," says Southern Interior deputy assessor Boris Warkentin. “With the softer real estate market, most changes in home values will be somewhere between -10% to +5% in the Thompson-Okanagan communities. 

According to BC Assessment Data, Kelowna saw median single-family home prices fall 3%, as did West Kelowna (-5%), Kamloops (-2%), Penticton (-3%), Lake Country (-2%), Summerland (-2%), Osoyoos (-2%) and Merritt (-8%). “Commercial and industrial properties are generally increasing in value at a higher rate than residential as a result of limited industrial land," adds BC Assessment Assessor Bryan Murao.

The release of the 2023 BC assessments has offers a wealth of information for homeowners and potential buyers alike. Whether you're looking to sell, buy, or simply stay informed about the market, understanding the assessments and their implications is crucial. By staying up to date with the latest real estate news and market updates, you can make informed decisions about your property and navigate the ever-changing landscape of the BC real estate market.