Total value of SLO County properties exceeds $62.7 billion, tax report shows
–The San Luis Obispo County Tax Assessor’s Office this week released its 2020-2021 Annual Report. The report shows 174,000 taxable parcels in the county at a total assessed value of over $62.7 billion. That is a 3.88% county-wide increase in assessed value from the previous annual report.
“Residential property values grew significantly during the 2020 assessment year and some commercial properties took a hit,” writes County Assessor Tom Bordonaro, Jr. Due the impact of the COVID-19 pandemic, business properties with high vacancy rates, a weak business climate, and the “obvious negative impact on small business owners,” reduced the value of more than 750 business properties “in a manner similar to a decline in value under Proposition 8.”
Properties contributing to value increases
- The highest percent of change is a 4.36% increase in value for land and minerals.
- For residential properties, change of ownership represents 57.7% of increase in assessed value.
- New construction represents 13.7%.
- Assessed value for business properties declined by 2.8%.
All cities in the county experienced assessed valuation growth but the rate of growth was less than previous years “primarily due to the impact of Coronavirus on business properties within the cities.”
2021 rate of increase by city in SLO County
- San Luis Obispo: 5.52% increase
- Arroyo Grande: 4.15% increase
- Morro Bay: 3.95%
- Atascadero: 3.83%
- Paso Robles: 3.63%
- Pismo Beach: 3.32%
- Grover Beach: 3.21%
Total property values in the unincorporated regions of the county increased by 3.42% in 2021.
Declining value and exemptions
Many local business property owners have been severely impacted by government-mandated COVID-19 restrictions and closures. Due to the disruption of business operations, the assessor proactively reviewed the value of the Business Personal Property owned by local businesses and reduced the assessed value for many local businesses
Total number of properties qualifying for a Proposition 8 decline in value assessment is 23,021 for 2021.
A property tax exemption provides for either a reduction in property taxes, or in some cases, no property taxes. Properties that qualify for exemptions include:
- Homeowner properties meeting certain requirements
- Welfare and Religious Properties
- Low Value Properties
- Veterans’ Properties
The number of residential properties with a Homeowners’ Exemption declined in nearly every community in 2021. Only property utilized as a primary residence is eligible for the homeowners’ exemption. The trend toward vacation homes or second homes continues in most of San Luis Obispo County.