Peabody Average Tax Bills To Rise $286 For 2024

PEABODY, MA — The average Peabody residential tax bill will increase $286 for 2024 in what Mayor Ted Bettencourt said is a lower increase than forecast in June because of continued strong growth in both the residential real estate and commercial markets.

The increase of 5.7 percent overall means that 44.6 percent of residential single-family homeowners will see their tax bills rise less than $200 annually, while 14.2 percent of homeowners will see a tax decrease, according to figures city officials shared at the City Council public hearing on setting the rate.

Bettencourt said the average tax bill was forecast to go up $309 in June, but will be less because "since those June projections Peabody's economy, in particular the housing market and our commercial sector, continue to surpass our best expectations."

Bettencourt said the $286 increase is "much lower than other Essex County communities" and puts Peabody in line with Haverhill among the small increases and tax bills in the county for 2024.

The City Council approved on a 9-1 vote a 1.75:1 shift in the commercial tax rate — shifting the tax burden away from residents and onto businesses at the maximum shift allowed under state law.

According to city figures, residential property values continued to go up across the board with single-family homes rising 10.2 percent in value, condominiums rising 8.4 percent and two- and three-family homes rising 15 percent.

"That is explosive growth and unparalleled in our city's history," Bettencourt said.

Property values have increased 48.6 percent over the past five years. The average residential property in Peabody is valued at $581,081.

The city will tax residents at $18.3 million less than the maximum levy allowed under Proposition 2 1/2.

(Scott Souza is a Patch field editor covering Beverly, Danvers, Marblehead, Peabody, Salem and Swampscott. He can be reached at Scott.Souza@Patch.com. X/Twitter: @Scott_Souza.)