INDIANAPOLIS — Property tax bills are going out across Indiana and you could face some sticker shock.
Since Marion County homeowners began receiving their bills late last week, the county treasurer's office has been bombarded with calls. Treasurer Barbara Lawrence said they've been averaging roughly 1,200 calls a day. The vast majority are asking about property tax bills.
Matt Swickheimer, who owns a house on the city's Old South Side, is not surprised.
"I had a phone call from a friend who said, 'what were your property taxes?'" he said. "I knew mine would be higher, but didn't know how much until I got a notice from the mortgage company."
Swickheimer's taxes jumped 111 percent from the previous year. While he expected an increase because of a couple of referendums he supported, he didn't expect to be paying an extra $700 a year in taxes.
While the giant jump in Swickheimer's bill is certainly not the norm and something he plans to look into, Lawrence said 80 percent of Marion County homeowners will see an increase in property taxes. On average, they'll pay 6.1 percent more.
Here's the breakdown Lawrence provided for Marion County homeowners:
- 6.2% will pay 20% or more in taxes
- 16.8% will pay 10 to 19% more
- 57.2% will pay 0 to 9% more
- 8.4% will pay relatively the same as last year
- 12% will pay less than last year
Marion County Assessor Joe O'Connor said it's all linked to the continuing red-hot housing market here and cities across the country.
"It's really a combination of low supply, not much inventory and what appears to be a lot of demand," he said. "So there are many home buyers competing for very few homes."
And that's driving up prices and ultimately assessed values, which property taxes are based on.
O'Connor said in Marion County, the greatest demand is for homes in the $150,000 to $400,000 price point.
He said it began in 2018 and despite the pandemic, home sales in that range are as strong as ever. He said assessments have also jumped in neighborhoods where redevelopment is surging, including Bates-Hendricks, Fountain Square and neighborhoods just east of downtown.
"We're seeing sales recorded in those areas that are substantially higher than they were three years ago," O'Connor said.
While Swickheimer said he can afford the extra $700 in taxes on his home, he worries about his neighbors on fixed incomes.
"Maybe they don't have a mortgage or escrow and have to come up with the money and that's a tough pill to swallow," he said.
O'Connor encourages everyone to check their assessed value.
"I would recommend filing an appeal if you think your property isn't worth what the assessment is. Even if you don't know I would say pick up the phone and call us," he said.
The deadline to file an appeal is June 15. The deadline to pay property taxes is May 10 with Lawrence encouraging taxpayers to use any one of several "remote pay" options.