CONCORD, NH — For the first time in more than a quarter-century, taxpayers in the village of Penacook will pay a lower tax rate than the rest of Concord, according to the latest rates approved by the New Hampshire Department of Revenue.
Historically, the Merrimack Valley School District has had a higher per $1,000 assessed value tax rate than the Concord School District. But for the 2027 tax year, the MV rate dropped from $16.41 per $1,000 to $10.58, while the SAU 8 rate dropped by $3.81 ($14.81 to $11.01).
It is the first time in 26 years that MV taxpayers will pay a lower rate than Concord property taxpayers for their schools, according to the only readily available online tax rate information.
Stefanie Breton, the city's public information officer, said the finance department was preparing third- and fourth-quarter tax bills, which will be mailed the first week of December. The quarterly bills will be due on Jan. 4, 2027, and March 31, 2027.
Concord Tax Rate:
City: $6.89
County: $1.69
Concord School District: $11.01
State Education Rate (SWEPT): $1.09
Total: $20.68
Penacook Tax Rate:
City: $6.89
County: $1.69
Merrimack Valley School District: $10.58
State Education Rate (SWEPT): $1.03
The rates were cut after an 18-month reevaluation by the city, which saw huge increases in property assessments, ranging from 60 to 80 percent, with some even higher, according to preliminary data.
According to Audrey Masters, the assistant deputy city manager-finance, in a memo to councilors, Concord's total assessed value increased about 54 percent — from $5.3 billion to $8.16 billion.
In the past, the average property in the city was assessed at around $400,000. That figure was up from $350,000 last year and $220,000 just six years ago. Masters said the average is now around $630,000 — an increase of around 57.5 percent.
Masters said the average assessed home's total property tax bill will increase about $1,384 annually for Concord residents, while Penacook residents will see a $424 increase. Of that, just $269 is the city side of the ledger, according to the data. The increase for village residents is smaller because of previously much higher school tax rates.
No real growth was factored into the property valuation increase in estimating the tax rate, she said.
Using the four examples in the prior story ("Property Reevaluation, $239M New Rundlett Middle School Will Bring Sticker Shock To Concord Taxpayers", see "Increased Bills Of Between $450 And $2,450," which was only the school bills), residents will see pretty huge property tax increases despite the rate drop.
The first example was a 100-year-old three-bedroom home in the West End, on a large lot, which saw its valuation increase more than 50 percent, or around $120,000. Last year, the property tax paid was around $6,500. This year, the tax bill will be around $7,050, or an increase of about $550. As noted in the previous article, $450 of the increase is the Concord School District.
A second example was a 1,200-square-foot West End single-family home on a two-thirds-acre lot, built about 40 years ago. This home saw its value increase by about $230,000. Last year, the property owner paid nearly $6,800 in taxes. This year, they will pay $11,050 — an increase of $4,250. Slightly more than half of the increase was the school district.
A third example: A 1,600-square-foot manufactured home in West Concord, built in the early 2000s, without land taxed, saw its assessment increase by 80 percent. Last year's tax bill was around $3,900. This year's will be around $4,800, or around a $900 increase. Two-thirds of the tax bill increase is the school district.
Lastly, another example: A townhouse in East Concord, built in the early 1990s, with around 1,300 square feet of living space. Last year, this property's taxpayer paid nearly $8,300. This year? It will be around $7,500, a decrease of around $800. Again, as noted last month, this property was previously probably over-assessed. But a decrease in property taxes is not the norm right now in Concord.
Three of the four examples are retirees who live on fixed incomes.
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