Connecticut's Property Tax Surge, What Every Homeowner Needs to Know

If you’re a homeowner in Connecticut, chances are your mailbox has brought some unwelcome news: higher property taxes. Across the state, cities and towns are updating property assessments, and the results have been eye-opening. Home values are up—and so are tax bills.

Whether you’re planning to stay in your home or wondering if it’s time to sell, here’s what’s happening and how you can respond strategically.

Why Property Taxes Are Rising Now

Every five years, Connecticut towns are required to reassess property values to reflect current market conditions. With home prices having surged over the past few years, some towns have seen average residential property values jump 45% to 70%.

• In Hamden, assessments rose as much as 71% in some neighborhoods according the the New Haven Register.

• Torrington saw home values nearly double in some areas.

• Wallingford experienced a 45% increase in residential values according to CT Insider.

To soften the blow, many towns have lowered their mill rates (the tax rate applied to assessed value) or phased in assessment increases over several years. But even with these adjustments, homeowners are still facing higher tax bills.

What Towns Are Doing to Help—And Why It Might Not Be Enough

Some communities are getting creative to manage the backlash:

• Mill rate reductions: Towns like Fairfield and Waterbury have lowered their rates to reduce the total tax burden.

• Phase-ins: Cities like Hamden and Torrington are spreading the impact over two to five years.

• Rainy-day funds: Torrington is tapping into its reserves to provide temporary relief.

Despite these efforts, many homeowners are feeling squeezed. Especially in areas where property values skyrocketed, the math still leads to bigger bills.

How This Affects Your Finances

Let’s say your property assessment jumped from $200,000 to $300,000. Even if your town reduced its mill rate, your new tax bill could still be significantly higher than last year’s—potentially by thousands of dollars annually.

This increase hits harder when coupled with rising costs of living, higher utility bills, and in many cases, stagnant incomes.

Should You Stay, Sell, or Refinance?

Here’s the good news: property values have risen, which means your equity has too. That opens the door to new opportunities—but also important decisions.

• Staying put: Most homeowners aren’t moving. If you locked in a low mortgage rate (under 4%) during the pandemic, upgrading or relocating now could mean taking on a 6–7% mortgage—an unattractive tradeoff.

• Selling: If you’ve built substantial equity and are considering downsizing, relocating, or cashing out, this could be an ideal time—especially while buyer demand remains strong.

• Refinancing: For those facing steep tax increases, tapping into home equity through refinancing may help manage cash flow or fund improvements.

What You Can Do Now

1. Appeal your assessment: If you think your new property value is too high, you can file an appeal with your local assessor’s office. Be prepared with comps or an appraisal.

2. Estimate your new taxes: Multiply your new assessment (or 70% of market value) by your town’s mill rate to see the likely bill.

3. Talk to a real estate expert: Understanding your current market value helps you make smart decisions—whether you’re staying or selling.

4. Explore refinancing options: If monthly costs are getting tight, refinancing might provide short-term relief or unlock home equity for other needs.

Don’t Wait—Act Before You're Overwhelmed

Rising property taxes are here to stay, at least for the near term. The worst move you can make is no move at all. Whether you want to reduce your tax burden, protect your investment, or explore a potential sale, the time to act is now.

Let’s Talk About Your Options

Thinking about buying or selling your home? We can help. Curious if refinancing makes sense for your situation? We’ll connect you with trusted local lenders.📞 Contact us below for personal guidance and smart solutions tailored to you.