Buncombe County weighs soaring reappraisal values as tax rate remains unset

Buncombe County homeowners could see their bills swing sharply this budget season as a countywide reappraisal pushes projected property values to $76.8 billion and commissioners still have not set next year’s tax rate.

At a April 16 budget work session, county staff walked the Buncombe County Board of Commissioners through new estimates for FY2027, the fiscal year that begins July 1. The county’s real property value is now estimated at $68.6 billion, up from $45.6 billion in the current year, while personal property is projected at $3.2 billion, down from $3.4 billion. Staff said those figures remain estimates because appeals are still open until May 5.

The numbers matter most to residential property owners, because homes make up about 92% of Buncombe County’s property-tax base. Commercial property accounts for only about 6% of the base, yet it represents roughly 25% of total appraised value because hotels and apartments carry a large share of the county’s wealth. That mix means the reassessment could shift more of the county’s tax burden onto homeowners even as the county sorts out how much money it needs to operate.

At the current tax rate of 54.66 cents per $100 of assessed value, the county collects about $293 million in property-tax revenue. Staff calculated a revenue-neutral FY2027 rate of 39.22 cents per $100 based on the new assessment, with projected revenue of about $301.9 million once property growth, late-interest fees and a 100% collection assumption are included. Commissioners will decide whether to accept a lower rate, raise it, or set something in between as they balance services against relief for taxpayers.

The decision comes after a bruising year for county finances. Buncombe’s FY2026 adopted general fund was $435.0 million, supported by a 55.02-cent tax rate and an estimated taxable property value of $52.9 billion with a 99% collection assumption. That budget followed Helene-related economic disruption, including losses tied to the Asheville water crisis, reduced tourism and damage to homes and businesses.

Pressure is already building for more spending in FY2027. County staff floated more than $504 million in general fund spending in March, along with 37 additional positions and about $4.4 million in staffing requests. Education is one of the biggest flashpoints, after advocates packed a May 27, 2025 forum with more than 300 supporters, and FY2026 recommended education funding came in at $126.5 million, not counting Asheville City Schools supplemental taxing district revenue.

Commissioners are set to hold a public hearing May 19 and adopt the budget June 2. Between now and then, they will decide how much of the reappraisal windfall goes to holding down tax rates, and how much goes to schools, staffing and other county services.