What Homeowners and Businesses Need to Know

The Cook County Assessor’s Office has released its final reassessment data for the City of Chicago in 2024, revealing significant shifts in property values across residential and commercial sectors. With total assessed values increasing by 23%, many property owners may see changes in their tax obligations. Key Takeaways from the 2024 Reassessment According to the Cook County Assessor’s Office, the total assessed value for Chicago now stands at $50.8 billion, reflecting a $9.5 billion increase over the prior assessment year. The impact of this reassessment varies based on property type, affecting both commercial and residential owners differently. 1. Commercial Property Growth Outpaces Residential Increases A major highlight from the 2024 reassessment is the shift in the property tax burden between commercial and residential properties. Commercial properties experienced higher growth in assessed values than residential properties. As a result, the share of the tax base borne by homeowners dropped from 51% to 49%. This shift could lessen the average homeowner’s share of the overall tax burden. 2. Breakdown of Property Class Growth Different property types experienced varying degrees of increase in assessed value: Multifamily Apartments (Class 3): +34% Industrial Properties (Class 5B): +65% Office Buildings, Hotels, Retail & Other Commercial Properties (Class 5A): +22%, increasing from $14.3 billion to $17.5 billion Residential Properties (Class 2): +18% (Source: Cook County Assessor’s Office) These figures indicate a significant jump in the valuation of industrial and multifamily apartment buildings, which could affect market dynamics and investment trends in Chicago. 3. The Role of the Cook County Board of Review While the Assessor’s Office determines initial property values, the Cook County Board of Review has the power to adjust these assessments during the appeals process. Historically, commercial properties have received significant reductions upon appeal, often shifting the tax burden onto homeowners. For example, during the previous reassessment of Cook County’s south and west suburbs, Board of Review adjustments added four percentage points to homeowners’ tax burden. Chicago property owners should be mindful of potential shifts as the Board of Review processes appeals in 2024. How to Appeal Your Property Assessment If you believe your property assessment is inaccurate or higher than it should be, you have the right to file an appeal. The Cook County Assessor’s Office provides resources and guidance on how to navigate this process. To learn more about your property’s valuation or to file an appeal, visit the Cook County Assessor’s Office website. Final Thoughts Understanding the impact of reassessment is crucial for both residential and commercial property owners. With rising valuations, it’s essential to review your assessment, consider appealing if necessary, and stay informed about any adjustments made by the Board of Review. For those affected by the 2024 reassessment, seeking professional assistance from a property tax attorney or consultant could be beneficial in ensuring a fair and accurate valuation.