2022 City of Madison Property Assessments

The 2022 property assessments are now available on the City website at cityofmadison.com/assessor. Assessment notices were mailed yesterday to all property owners.

Locally assessed real estate increased 10.9% for 2022. Commercial assessments increased 12.9% ($11,550 to $13,266 million) and residential assessments increased 11.4% ($20,119 to $22,699 million).

My assessment went up a lot! Does this mean my taxes will go up a lot too?

No. Growth in property value (assessment) and property taxes are not the same. The large increase in the city's total property value will result in a lower tax rate (mill rate) compared to last year, so taxes on an individual home are not expected to increase as much as property values are increasing. 

As an example of how value and taxes differ, the value of the average value home increased by 6.4% in 2021 over 2020 (from $315,200 to $335,200), while taxes on the average value home (before state tax credits are applied) increased by 1.9% (from $7,641 to $7,817).  After applying state tax credits, the change was 0.12%. (the lottery credit increased by 57% between 2020 and 2021). The total property tax levy (all taxing jurisdictions in the city) increased by 1.0%.  These are averages – the percentage change varies by property.

Why are assessments going up so much?

This is partly due to a robust real estate market and continued development. It's an indication of the strength of the local and regional economy and a thriving housing market. The limited supply of housing in Madison has combined with economic conditions to push up home prices.  The City Assessor cautiously applied market data to moderate the impact of these effects on property values.

Why are housing prices going up so much?

Housing prices have risen an average of 18.8% across the country. The lack of housing inventory compared with demand is impacting development and cost for all types of housing. New construction is ongoing but a long running shortage, combined with lingering effects of the pandemic are impactful. This data further demonstrates our need to build more housing. The City is committed to making it easier to build housing, supporting and funding affordable housing, and increasing housing choice in every neighborhood.

Is this amount of increase in assessments normal?

The level of growth this year, while robust, is not unprecedented. The last time the City had a 12% increase in the average value of a home was 1994. The City experienced similar levels of growth for residential and commercial classes of property in 2001. 

I don't agree with my assessment. What can I do?

Please contact the Assessor's Office within the next two weeks. Information on how to contact and process can be found here: https://www.cityofmadison.com/assessor/process/appeals.cfm

Who controls tax policy? How can I influence it?

The state legislature controls tax policy. Please find information on tax policies that impact the tax burden and ideas on how to engage in the process here: Property Assessment video

I need help paying my taxes. Where can I go?

Please find resources on the Assessor webpage.

The City Assessor is responsible for the assessment process including: (1) Discovering all real and personal property that is subject to tax unless exempted by law; (2) Listing all property characteristics used to determine value; and (3) Valuing all property subject to property tax. Creating and maintaining an accurate assessment roll (list of all taxable property: address, value, and owner) fulfills the first requirement. Sustaining property record cards with correct characteristics and information satisfies the second requirement. Accurate valuation, the final requirement, entails estimating the market value of all locally assessable property in the City. These values are used when establishing property taxes in December.

In Madison, all property is valued annually at 100% of market value as of January 1. For the purpose of taxation, property falls into two categories: real estate and personal property. Within these broad categories, there are several delineations of property. Real estate includes single family homes, condominiums, apartment buildings, commercial, and agricultural properties. Personal property consists of furniture, fixtures, and other types of property used in the course of business or commerce. Real estate and personal property are assessed by the City Assessor and represent approximately 98% of the property tax base. The remaining 2% of the tax base is manufacturing property valued by the Wisconsin Department of Revenue.

Real Estate Changes
Locally assessed real estate increased 10.9% for 2022. Commercial assessments increased 12.9% ($11,550 to $13,266 million) and residential assessments increased 11.4% ($20,119 to $22,699 million).

Personal Property Changes
Locally assessed personal property assessments decreased by $5 million between 2021 and 2022. This represents a 0.5% decrease from $591 to $586 million.

Manufacturing Assessments
Manufacturing full value assessments prepared by the State are available on the WI DOR website. Last year these assessments totaled $462 million ($388 million on real estate and $74 million on personal property).

Recap of Local Changes
A report is available including tables that focus on the compositions and rates of locally assessed real estate growth.