Thousands of residents of Newark, Delaware, could face higher property tax and utility bills soon as city authorities are set to approve a 3.3 percent property tax hike, along with a 12 percent water rate increase and an 8 percent increase in sewer rates for fiscal year 2026.
Why It Matters
Property taxes have soared across the country over the past five years as the pandemic home-buying frenzy, combined with a chronic lack of inventory nationwide, sent home prices through the roof.
This additional financial burden is weighing heavily on millions of homeowners across the country who are already struggling with other rising costs—including home insurance premiums, homeowners association fees, and elevated borrowing costs. That is why many states are now looking into slashing property tax bills for residents—if not eliminating them entirely.
What To Know
Homeowners in the First State pay some of the lowest property tax bills in the country, with the effective rate at just 0.55 percent compared with a national average of 0.9 percent, according to Smart Asset. That means that, on average, homeowners with a property valued at $200,000 pay an average of roughly $1,100 every year.
But for homeowners in Newark, a city of roughly 30,000 people, tax bills could soon get a little more expensive…