The city of Chesapeake, Virginia is the third-largest in the state with a population of about 230,000. Its massive land area of about 340 square miles, some of which is wetlands, gives it a relatively low urban population density of 652 people per square mile. It is part of the Hampton Roads metropolitan area and located on Intracoastal Waterway. According to 2010 census data, there were about 88,000 housing units and 79,000 individual households in the city, with a home ownership rate of about 73 percent.
How Much Is Real Estate Tax?
Chesapeake property tax on real estate is $1.05 per $100 of assessed fair market value, which includes $0.01 for city mosquito control measures. The median list price for a home in Chesapeake is about $285,000; annual real estate taxes on a home of that price would be about $2,993. Spread out over four payments as allowed by the city, each payment would be just under $750. To estimate real estate taxes for any Chesapeake property, divide the assessed fair market value of the house by 100, then multiply that number by $1.05.
How Much Is Personal Property Tax?
The tax rate for vehicles is $4.08 per $100 of assessed value, except for qualifying disabled veterans and handicapped persons, who pay a rate of $0.09. For perspective, taxes on a vehicle with a $20,000 value would be $816 at the $4.08 rate and $18 at the $0.09 rate. Recreational vehicles are $1.58, boats are $0.09, and business property (except real estate) is $4.08 per $100.
How Do Chesapeake Taxes Compare In-State?
Chesapeake’s real estate tax rate is in the mid-range for Virginia cities. In nearby Virginia Beach, the real estate tax rate varies by special service district, ranging from $0.99 to $1.43. Norfolk, also located in the Hampton Roads metropolitan area, taxes at a rate of $1.15. Richmond real estate tax is $1.20. In Alexandria, it’s $1.04. Roanoke is $1.19, and Charlottesville is $0.95. (All rates are per $100 of assessed value.) Residents of cities that are not independent, but rather are part of a county, have to pay both city and county real estate taxes, which increases overall tax rate in some locations. This does not apply to Chesapeake, an independent city.
How Do Chesapeake Taxes Compare Nationally?
Compared with largest cities in the nation, Chesapeake’s tax rate is on the lower end of the spectrum. The average effective tax rate in New York City is surprisingly low, working out to about $0.72 cents, though some of the suburbs of Manhattan pay among the highest rates in the country. Boston is $1.10. In Los Angeles County, it’s $1.00 with additional tax that varies by municipality, but averages to $1.16. Chicago’s rate is $1.86. (All rates are per $100 of assessed value.) The states with the highest average real estate tax rates are New Jersey, Illinois, and New Hampshire, while those with the lowest are Hawaii, Alabama, and Louisiana. Virginia is the 16th highest state in the nation.
Are There Tax Relief Programs?
The City of Chesapeake offers a tax relief program to qualifying seniors and disabled persons. Participants must be age 65 or older or have a permanent disability. Total household income cannot exceed $62,000 annually, and net worth of assets must be $350,000 or less to qualify. People who meet these eligibility requirements can contact the city office for assistance with the application process. Applications are due by May 15th.
A rehabilitation tax credit in the form of partial exemption is available for certain structures. Homes must be at least 15 years old and located in the South Norfolk Revitalization District. To qualify, renovation has to increase the home’s value by at least 10 percent. The credit is a partial exemption for 10 years after the date of renovation. Applications for the tax credit must be submitted to the Office of the Real Estate Assessor within six months of completing renovations, and a $50 filing fee is required.
In Virginia, qualifying disabled veterans are eligible for a tax exemption. Stipulations include that the disability be permanent and service-connected, and the veteran must have documentation from the Department of Veteran’s Affairs stating that the disability is evaluated as 100 percent. Applications are available online through the City of Chesapeake’s website, or at the following locations: City Hall in Great Bridge, or at the Deep Creek, South Norfolk, or Western Branch satellite offices.
What Else Do I Need to Know?
To make payments easier to manage, the City of Chesapeake breaks your total annual real estate tax bill into four payments, due throughout the year: September 30th, December 31st, March 31st, and June 5th.  If you disagree with the fair market value reached by the Assessor, you can file an appeal to the Board of Equalization. Appeals are due by April 1st and must be mailed or hand-delivered; the office will not accept faxed or electronic submissions. You can search for any Chesapeake property and view its value using the city’s real estate information tool. The office of the Real Estate Assessor is located at 306 Cedar Road, 4th Floor, Chesapeake, VA 23322.
2 Point Highlight
Chesapeake property tax on real estate is $1.05 per $100 of assessed fair market value, which includes $0.01 for city mosquito control measures.
Compared with largest cities in the nation, Chesapeake’s tax rate is on the lower end of the spectrum.
