Pennington County sees significant property value growth
RAPID CITY, S.D. — Pennington County’s assessed property value has had significant growth so far this year – it has gone up $895 million from last year with a total estimated value of $12.4 billion.
In South Dakota and in most states, property taxes are based on the market value of your property. Pennington County has seen a huge increase in the real estate market in the last year.
Shannon Rittberger, Director of Equalization for Pennington County, said, “What our office does is report the value of your property and then your property taxes will be based on that.”
South Dakota is an annual assessment state, which means the market value of properties are assessed every year to ensure accurate and equitable. Approximately $230 million in new property was added from last year.
“This year we’ve added about two percent more property, which doesn’t seem very much but the more people that share the tax burden here. The better it is for everybody,,” said Rittberger.
If the property value goes up on your business or home, that does not guarantee your taxes will increase as well.
Rittberger also said, “the County Commission, the City Council, the School District, all of those taxing entities decide to raise taxes. And that can happen weather property values go up or not. If property values go up and those taxing entities choose not to raise taxes, your value, your assessment, can go up but your taxes won’t”
South Dakota also has a tax break, which is called the Elderly Assessment Freeze, for people who are 65 years and older. Or are disabled and meet certain requirements can have their assessment frozen at whatever the value the value their property was when they were 65.
“So if they are 96 years old, they will be paying taxes on what the house was assessed at 30 years previous,” said Rittberger.