Most Philly homeowners will see a property tax increase in 2025

Have a question about Philly’s neighborhoods or the systems that shape them? PlanPhilly reporters want to hear from you! Ask us a question or send us a story idea you think we should cover.

The average homeowner in Philadelphia will see their property tax bill go up by $330 on average in 2025.

Mayor Cherelle Parker made the announcement Monday. She said it followed a reassessment of 580,000 properties throughout the city and was not part of a planned tax hike.

The exact increase will vary depending on the property. According to the city’s Department of Finance, there are approximately 50,000 single family homes with values under $100K, meaning they’ll pay no property taxes – provided they’re enrolled in the city’s Homestead Exemption program.

Finance Director Rob Dubow said there is help for people who are struggling to pay their taxes.

“For properties where they’re increases in values and in taxes, we know that those increases can present a hardship,” he said. “We’ve expanded our relief programs and we’re aggressively promoting those relief programs to ensure that as many people as possible enroll.”

Parker said city workers will go door to door to advise people about available programs.

“We’re doing everything that we can in a forward-thinking progressive way to make sure that you have access to the information,” she said.

The city budget allocates 56% of property tax revenues to public schools. Parker said the increase will generate $240 million over five years for Philadelphia schools.

While homeowners will see an increase, commercial reality spaces will receive a tax cut. Officials said work from home has changed the value of office space by about 6%. Because of state regulations, the city cannot charge more for commercial real estate tax than it does for residential.

The city plans to mail out price change notices to property owners this week. New valuations will also soon be available on the city’s website. Assessment appeals are due by Oct. 7.

The last time a property assessment of this size happened in Philadelphia was in 2022. Officials are supposed to reassess every year.

“We would like to get to annual, but the goal is regular,” Dubow said in regard to how often reassessments would occur.