Three in five residential property owners in Sedgwick County will see their homes increase in value this year, down from four in five last year.
County appraiser Mark Clark said the drop is because the housing market has cooled since 2023 due to high interest rates.
“'It's not an extremely hot housing market, but it is strong and it's resilient,” Clark said. “And that low supply of homes is pushing prices higher."
For the homes that did increase in value this year, Clark said a primary factor is consistently high home sales prices. The median increase in valuation was 8%.
The median sales price for homes continued to grow in Sedgwick County in 2023, hitting $243,200. But it grew at a slower pace than it did in 2021 and 2022.
The county appraises home values annually to calculate property taxes. Property valuations are one part of the equation that determines how much tax is owed. The other half is decided by the mill levy, which is set by the County Commission and other governing bodies.
Clark said that the county continues to face a steep housing shortage of between 25,000 and 50,000 units. Throughout 2023, the county never had more than two months worth of housing inventory available, while normal markets typically have at least four months.
And the number of permits pulled to build new housing dropped precipitously from 2022 to 2023, by nearly 12 percent. Clark said that’s because investors and developers are less likely to build housing with high interest rates in place.
This could worsen housing shortages in the future, Clark said.
“Property owners are going to see their values continue to increase because of that supply-demand imbalance, and that is something that needs to be addressed,” Clark said. “I’ve stated it several times that we need to find a way to build more residential units in Sedgwick County.”
High prices and high interest rates also caused the number of home sales to dip in 2023.
“When you have interest rates like they are right now, your transactions are going to be down,” Clark said. “But nonetheless, we still have a good economy.”
Property value notices will be mailed March 1 to all property owners whose valuation changed.
Residents can appeal their home valuations if they don’t think it is accurate by filling out the back of the mailed value notice. Sedgwick County also offers an online portalto appeal valuations.
Clark said property owners in need of help can contact the county clerk’s office about property tax relief programs:
- Homestead Property Tax Refund
- “SAFESR” Property Tax Refund
- Senior or Disabled Veteran Property Tax Refund
