In Cook County, rising property taxes continue to impact homeowners, marking the 30th consecutive year of increases, as reported by the Cook County Treasurer’s latest annual tax analysis.
With the recent reassessments completed in the City of Chicago, and second-round property tax bills set to be dispatched later this summer, there is growing concern about affordability and equity in the property tax system.
This preliminary article serves as the first in a series examining the future of property taxes in the county, outlining how bills are generated and what homeowners can expect this tax cycle.
The calculation of property tax bills involves collaboration among three key entities: the Cook County Assessor, local government units, and the Cook County Clerk.
The Assessor’s office establishes the taxable value of properties through a comprehensive three-phase reassessment cycle.
This year, assessments are focused on North Suburban Cook County, while the south suburbs will undergo reassessment in 2026, with the City of Chicago assessments taking place in 2024.
Meanwhile, local governments determine the necessary funding for public services, known as levies, which are essential in budgeting for community needs.
The Cook County Clerk then calculates the local tax rates based on assessed property values and levies.
These rates should ultimately align with the budgets set by local authorities.
Homeowners can expect their property tax bills to be divided into two installments, typically due in March and late summer.
The first installment corresponds to 55% of the previous year’s total, while the second installment reflects updated assessment values, new tax rates, applicable exemptions, and includes a detailed breakdown of tax allocations, introduced in the 2024 tax bills.
Factors contributing to property tax increases are multifaceted, primarily influenced by local government funding requirements and the accuracy of property valuations.
The assessment process is crucial as it determines the share of the community budget each property must contribute, thus directly impacting individual tax bills.
A recent study highlights the Midwest, Illinois, and specifically Chicago, as leaders in high tax rates and growing average property tax bills.
In fact, of the five metropolitan areas in the U.S. with the highest effective tax rates for single-family homes, four are located in Illinois, with Chicago.
Chicago’s effective tax rate stands at 1.91%, ranking just behind Rockford’s 2.06%, as per findings from Crain’s.
Additionally, over the past decade, the property tax burden in Chicago surged 53.3% from 2014 to 2023, as released in a Civic Foundation report.
In 2024, a notable shift in tax burden occurred, with a 3% increase from commercial to residential properties, expected to further inflame homeowners’ tax bills.
Recent information from the Assessor’s Office reveals that approximately 240,000 homeowners in Cook County experienced tax increases of 25% or more between the years 2021 and 2023.
As the due date for the 2024 tax year approaches, there remains uncertainty regarding the overall tax rate increase in Cook County due to pending finalization of budgets from various taxing agencies.
In light of such pressures, different initiatives have emerged at both the local and state levels to mitigate property tax increases.
According to Christopher Berry, a University of Chicago professor, reforms addressing the existing property tax system are often more feasible compared to comprehensive overhauls.
“The politics of systematic reform are much more daunting,” Berry noted.
This is reflected in recent proposals for incremental changes rather than wholesale reforms.
For example, earlier this year, the Cook County Assessor Franz Kaegi introduced the Circuit Breaker Property Tax Relief Act.
This proposed legislation intends to assist homeowners facing property tax spikes of 25% or greater from one year to the next.
Kaegi emphasized his desire for a fair property tax system that alleviates financial burdens on working-class families and seniors struggling to meet tax obligations.
In addition, broader reform discussions are underway, as evidenced by legislation passed in Springfield that evaluates reliance on property taxes and the historical rise in property tax levies.
A final report regarding this evaluation is anticipated to be submitted to the Illinois General Assembly by July 1, 2026, potentially paving the way for more adaptive property tax management.
As Illinois officials continue to deliberate over various reform strategies and relief options, the future trajectory of property taxes and their sustainability for homeowners remains a significant concern.
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