First, a few frequently asked questions:
Why did different areas increase different amounts?
We look at sales within neighborhoods when we set values. Some neighborhoods will sell higher than others. For example, if I build two identical homes, one at the lake and one in Ardmore, the one at the lake will sell for more than the one in Ardmore. The same can be true within a town. In Hot Springs a house by the school or Butler Park will sell for more than that same home if located by the waste treatment plant.
Similar to last year we saw larger percentage increases in areas that had traditionally had lower valued homes and land. Oelrichs, which had not seen increases last year, saw significant increases this year. Our prairie areas also saw some large increases this year. Edgemont’s increases were similar to last year.
In Hot Springs some areas slowed down in their increases but areas of town that have traditionally sold lower such as Catholican (the area south of the Mueller Center) are still increasing significantly. In the golf course subdivisions land saw a significant increase while buildings increased minimally.
The areas around Angostura Reservoir which last year saw increases that were less than the county average were higher this year.
Why are percentages higher in the traditionally lower value areas of the county?
When you have a larger value it takes more increase to create that percentage change. For example, if a $50,000 home increases $15,000 that is a 30% increase. A $250,000 home would need to increase $75,000 to see a 30% increase.
Why do we have to increase at all?
State law requires counties to value property based on its market value. Property values must be between 85-100% of what they would sell for on the open market.
What is a median?
Median means the middle value. Averages can be skewed by having one or two extremely large or small values, especially in a small group of data. Median is more representative of what a ‘normal’ property will do. However, it is important to note that median also means that half of the numbers are above that number while half are below.
Value increases for 2023
Edgemont
Residential Homes will see a median 5%-39% increase depending on neighborhood. Areas on the west side of Edgemont generally increased the least.
Hot Springs
Residential Homes will see a median 5%-28% increase depending on neighborhood with areas on the east and south sides of town generally increasing the most. Most areas of town are increasing less than last year.
Areas around Hot Springs
Residential Homes in the Cascade Road area will see a median increased of 18%. While those north and west of Hot Springs will see a median increase of 19%. Along Fall River Road the median increase was 14%.
Lake Area
Residential homes around the lake saw a larger increase this year than last year. Land on the south and west sides of the lake continues to increase at a fast pace.
Agricultural Areas and Smaller Communities
Oelrichs saw significant increases this year, with a median 49% increase on developed properties while vacant land tripled in value. Perhaps in part because they saw no increases last year.
The railroad communities of Smithwick, Oral, Provo, etc saw an average 35-46% increase in residential values.
Rural homes on the plains saw 5% average increase in the west side of the county and a 11% average increase in the east side of the county.
