Residential, commercial property values jump in N.S. for second year in a row

Residential and commercial property values in Nova Scotia have jumped significantly for the second consecutive year.

They are up 17.8 per cent over the past 12 months, according to new figures from the Property Valuation Services Corporation. That follows an increase of 18.2 per cent during the preceding year.

Strong demand for housing and commercial properties continues to drive the growth, said Jeff Caddell, the corporation's assistant director of operations. In rural areas, proximity to water seems to be adding value to properties, he said.

"We started to see a slowdown somewhat toward the end of the year, but certainly the increase that we saw for the majority of the year is resulting in those strong changes over last year's assessments."

The corporation's figures show that overall growth varied from one to three per cent before the current uptick.

Property values are rising despite the increased cost of construction materials and labour, Caddell said.

Effect on property taxes not yet clear

The corporation sent all property owners their assessment notices this week, but Caddell said it's not yet clear what that will mean for property owners' taxes.

"At PVSC, we value properties at market value," he said. "The municipalities are responsible for setting the tax rate, so I can't speak for what municipalities will do."

Municipalities use assessment values to set tax rates, which will be done this spring at the earliest. If they don't lower the rates, most property owners will pay more taxes this year.

However, under the province's capped assessment program, if there's no change to the tax rate, most residential properties will only be subject to an increase of 3.2 per cent, which is based on the Nova Scotia consumer price index.

Halifax's overall property values are up by $13.15 billion, or about 16 per cent over last year. That's down from an increase of 21 per cent the previous year.

Caddell also said the corporation is speaking with municipalities and property owners to determine what effects, if any, arose from wildfires and floods in 2023 and to determine whether there are any lingering effects from post-tropical storm Fiona in 2022.

Cape Breton Regional Municipality's total values are up about $1.66 billion this year, or about 21 per cent, which is a large increase compared to the previous year's boost of nine per cent.

Stewiacke continues large increases

The Town of Stewiacke saw the saw values rise by 32 per cent — the largest jump in assessed values in the province — following an increase of 28.5 per cent.

In Cape Breton, assessments were up:

• $446 million, or 24 per cent, in Inverness County; 
• $249 million, or 20 per cent, in Victoria County;
• $223 million, or 18 per cent, in Richmond County;
• and $55.7 million, or 17 per cent, in the Town of Port Hawkesbury.

More information about assessment changes in each municipality, and how they are determined, is available on the corporation's website.

Anyone who wishes to question or appeal their property assessment can call 1-800-380-7775 or email inquiry@pvsc.ca.

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