Property Tax Records in Vermont

When you purchase any type of real estate in Vermont, you'll need to start paying property taxes every year. These taxes are typically collected by county governments to pay for a wide range of public services that require annual funding. The average property tax rate in Vermont is currently 1.73%, which is among the highest in the country. Keep in mind that Vermont property tax rates differ from county to county. In nearly half of the counties, the property tax rate exceeds 2%.

While there are several different factors that determine what your property taxes will be, one of the reasons why they are so high is because the state of Vermont also levies a property tax. This tax is added to the ones that are assessed by your local government. Vermont collects an "education tax" that's designed to fund schools.

Your property taxes can only be calculated once the city assessor identifies your home's current market value. From here, it's possible to determine the home's taxable value, which is what your county's tax rate applies to. You may be able to reduce your home's taxable value by claiming a tax exemption, ultimately easing your financial burden.

You'll receive your annual tax bill by the end of July. These taxes are usually collected in installments that are due on August 15, November 15, February 15, and May 15.

Property taxes have always been a crucial source of state funding. For nearly a century after Vermont received statehood, property taxes were the state's main source of revenue. Once the state began to collect income taxes in 1931, property taxes became somewhat less important. However, they still produce more revenue for Vermont than the four other state taxes.

To calculate your property taxes, you need to consider the two types of taxes that can be applied to your Vermont home. Municipalities set local Vermont property tax rates by identifying the market value of a property. The Vermont education tax rate will also be applied. Local assessors will periodically review the home to determine its current value, after which the assessed value can be calculated. Keep in mind that local assessors are known as listers in Vermont.

Homes in Vermont must be reappraised if their assessed values drop below 80% of their market values. While most states dictate how often listers need to calculate market values, Vermont leaves that up to the town or county. In 2023, however, Vermont passed Act 68, which made some small changes to the reappraisal process. Starting in January 2025, town listers must reappraise homes at least once every six years.

The amount of education tax you pay depends on numerous factors, which include everything from the type of property you own to the per-pupil spending that occurs in local schools. It also depends on the common level of appraisal (CLA), which is determined by the state.

The CLA differs with each tax district. This metric shows the level of appraised values in the district compared to current market values. If a city has an elevated CLA, there's a higher chance that properties will be over-appraised, which means that the Vermont education tax rate should be lower.

Tax rates in Vermont change every year. The average assessment ratio in Vermont is 78%, which means that your home's assessed value will be 78% of its market value. Let's say that your home's current market value is $225,000. In this situation, the assessed value will amount to $175,500. If you live in a town with a tax rate of 2%, your annual taxes will be $3,510.

You can also calculate your annual property taxes by using your county's effective tax rate. For example, the effective tax rate in Orleans County is 1.82%. This rate should be applied to your home's market value. If your home is valued at $225,000, your annual property taxes will be $4,095. The property tax rates in the most populous Vermont counties are:

Property taxes in Vermont, as you can see, vary from county to county, though the difference isn't great. Franklin County property taxes are much lower than Rutland County property taxes, though the difference isn't much.

In Vermont, the property taxes you pay each year are collected by the state as well as the municipality that your home is located in. The tax revenues that are collected by the state pay for school systems. Cities and towns use their portion of the revenues to pay for public services like fire departments, police departments, and libraries.

If you're looking to purchase a Vermont home, you can research the property with tax records. These records are usually available through your city's website. Once you access the database, you can search for a property if you know its address. Vermont property tax records usually contain the following information:

While Vermont property taxes are higher than in most states, homeowners have access to several exemptions and deductions that can lower these taxes. The two tax breaks that are most relevant to homeowners are detailed below.

Disabled Veteran Exemption: This tax exemption is available to disabled veterans who own homes and live there for most of the year. Based on state law, the exemption must be at least $10,000.

However, cities and towns can increase this exemption to $40,000. If you live in a city that offers a $40,000 exemption, you may be able to reduce your home's assessed value by this amount. You're likely eligible for this exemption if you meet one of the three following requirements:

• Military retirement pay that involves a permanent medical military retirement
• Non-service-connected pension
• A disability rating of 50% or higher

You'll need to apply for this exemption by May 1 each year. Surviving spouses may qualify as well, ensuring that they can benefit from the same financial relief.

Property Tax Credit: The purpose of this tax credit is to help homeowners pay their property taxes. This credit may be available to you if your property meets the eligibility requirements and qualifies as a homestead. The maximum credit is $2,400 for municipal property taxes and $5,600 for state education taxes. You'll need to live in Vermont for the entire year to qualify.

If you're interested in learning more about a property and the taxes that the owner pays every year, you can obtain this information on your city's property database. When using one of these databases, you can search for properties with parameters like address, owner name, parcel number, SPAN number, and street name.

You can also access these records with a third-party tool like PropertyChecker. With this tool, you're able to search property and deed records if you have the owner's name, email, or phone number. The search engine also accepts the property address and parcel ID. After around 20 seconds, you should receive a comprehensive report that provides the following details:

A property valuation is a somewhat subjective estimate that's designed to identify a home's current market value. Once this value is determined, the lister will be able to calculate the assessment value. If the appraised value of your home changes from one year to the next, you'll receive a change of appraisal notice from the local lister.

If you believe that your home's new Vermont property assessment value is inaccurate, you can file an appeal. A successful appeal may allow you to reduce the assessment value and lower your annual property taxes. Here's a step-by-step guide that details what you should expect from the appeals process.

Step 1: Once a change of appraisal notice has been mailed, you'll have 60 days to file a grievance with your city's board of listers. If you don't file a grievance, you can't appeal. Every city or town has a date of grievance, during which you'll need to appear before the board of listers to make your case. After the hearing, you'll receive a written notice that explains the board's decision.

Step 2: If you disagree with the board's decision, you'll have 14 days to write a letter to the city clerk about your desire to appeal. The board of civil authority will then hold a hearing and appoint an inspection committee to view your home. The committee has around 30 days to provide a report to the board, after which the board must decide within 15 days.

Step 3: If you still haven't received a favorable answer, you can file another appeal with your county's superior court or the state appraiser.

Property taxes in Vermont can impact real estate transactions in a major way. When you purchase, sell, or invest in a home, your taxes will be based on an average tax rate of 1.73%. No matter where the home is located, you'll need to contend with high property taxes. Even if you qualify for a tax exemption, it may not substantially reduce the amount of taxes you owe.

When someone is looking to buy a home in Vermont, they'll need to calculate property taxes to determine how much their monthly mortgage payments will be. If your annual tax bill is $3,600, it will increase your mortgage payments by $300 per month. When identifying the affordability of a home, a buyer may discover that property taxes are so high that they can't afford the property. They may decide to look for a lower-priced home or search for a property in a county with a more reasonable tax rate.

When selling a home in a county with a high tax rate, you may need to provide the buyer with incentives to ensure the transaction is completed without issue. High property taxes can also sway investors when they're searching for the best rental properties to buy. Property taxes increase monthly payments. The debts an investor pays on a rental property every month must be lower than the amount of money they collect from tenants.

Investors in Vermont can participate in the tax sale process, which involves selling properties with delinquent taxes. Homeowners must pay their taxes by the due date. If these taxes aren't paid in full by the final installment date, the local treasurer can issue a delinquent tax warrant. It will remain in place until the homeowner repays all the taxes they owe.

When taxes are delinquent, interest will continue to build. Eventually, the city or town can sell the home in a tax sale, which takes the form of a public auction. Investors can bid on delinquent properties. The winning bid must pay all remaining taxes and interest to claim the property, making it essential for homeowners to stay current on their tax payments to avoid losing their homes.

However, the delinquent homeowner will still have time to reclaim their property. Once a tax sale occurs, the owner will have up to one year to repay the taxes they owe as well as any interest, fees, and penalties. If the owner has not reclaimed their property by the end of this period, the investor will receive a deed to the property.