Property Taxes in Chapel Hill, North Carolina
Median Chapel Hill, North Carolina effective property tax rate: 0.88%, lower than the national median of 1.02%, and higher than the North Carolina state median of 0.81%.
Median Chapel Hill, North Carolina home value: $432,450
Median annual Chapel Hill, North Carolina tax bill: $3,743, higher than the national median property tax bill of $2,400.
How are property taxes in Chatham County calculated?
Property taxes in Chapel Hill, North Carolina are calculated based on the tax assessed value, which is often lower than the actual market value due to property tax exemptions such as the homestead or senior exemption.
Understanding Chapel Hill's property tax system, exemptions, and reduction opportunities can lead to significant savings. Regardless of where you live in Chapel Hill, knowing local tax details benefits homeowners and investors.
Last Updated April 13, 2026
How Does the Chapel Hill Property Tax Calculator Work?
Use this Chapel Hill property tax calculator to estimate your annual property tax bill. Enter your property's assessed value and our calculator applies Chapel Hill's median effective tax rate of 0.88% — based on actual property records in Chatham County — to generate your estimate.
Enter your property's estimated assessed value — the figure the local appraisal district uses to calculate your bill, which reflects any exemptions you hold and is typically lower than your home's market value. Our calculator applies Chapel Hill's median effective rate across all local levies, providing a more accurate estimate than applying a single county millage rate.
Your bill may vary by ZIP code within Chapel Hill: rates range from $3,369 in 27516 to $4,346 in 27517, primarily due to differences in school district levies and local assessment districts. Chapel Hill's median property tax bill is $3,743, which is lower than the county tax rate and higher than the state tax bill by $1,343.
For a more precise estimate, scroll down to explore ZIP code-level tax rate trends across Chapel Hill.
About Chapel Hill Property Taxes
About Property Taxes in Chapel Hill, Chatham, North Carolina
Chapel Hill’s median effective property tax rate of 0.88% is lower than the North Carolina state median of 0.81% and lower than the national median of 1.02%. This rate reflects the Chatham County base levy combined with local school district levies and special assessment districts that vary by subdivision throughout the city.
Property tax rates are not uniform across Chapel Hill. Homeowners in the 27516 ZIP code carry a median effective rate of 0.89%, while those in 27517 pay 0.88%. This spread — 0.01 percentage points across the same city — reflects how school district boundaries and local assessment districts are drawn across Chatham County. Understanding which part of Chapel Hill you live in can make a meaningful difference to your annual tax bill.
Chapel Hill homeowners who believe their assessed value is too high can file a formal appeal with the local Tax Assessor before the May 4, 2026 deadline each year.
If your estimated bill above seems higher than expected, Ownwell can review your assessment and protest on your behalf. You only pay if we save you money.
Property Tax Rates Across Chapel Hill, Chatham County, North Carolina
As noted earlier, local government entities set tax rates, which can vary widely within a state.
Why? Because annually, each county estimates its required budget to provide services and divides that by the total value of all taxable property within its jurisdiction. This calculation results in the property tax rate.
While there are votes and laws involved in setting tax rates and budgets, in a nutshell, this is the annual process.
Below, you can compare Chapel Hill's effective property tax rate to other cities in North Carolina and the median property tax rates in North Carolina and the U.S.
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Chapel Hill Tax Rate
0.88%
Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.
Median Effective Chatham County Tax Rate
0.89%
Median Effective North Carolina Tax Rate
0.81%
Median Effective United States Tax Rate
1.27%
Property Tax Rates Across Chapel Hill, Chatham County, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | 0.85% | 0.87% | 0.89% | 0.89% | 0.91% |
| 27517 | 0.85% | 0.86% | 0.88% | 0.88% | 0.90% |
Source: Ownwell
Property Tax Assessment Values Across Chapel Hill, Chatham County, North Carolina
When examining property taxes in Chapel Hill, North Carolina, understanding the distinction between "market value" and "assessed value" is crucial.
The market value is what a willing buyer would pay to a willing seller in an open and competitive market, often influenced by location, property condition, and economic market trends. The Chatham County appraisal district estimates the market value for tax purposes.
The assessed value is the market value minus any applicable exemptions or limits determined by local laws and offerings. The tax assessed value is the figure used to calculate your property taxes or the amount multiplied by your tax rate to get your tax bill.
Assessment notices:
In Chatham County, assessment notices are sent in the spring each year. They'll typically reach your mailbox by the middle of the month when notices are sent.
Each property owner receives an assessment notice that contains both the market value and assessed value, along with an estimate of your property tax bill. The median home price in Chapel Hill is $432,450, with tax bills ranging significantly across the county. ZIP code 27517 has the highest median home price at $506,288.
Property Tax Assessment Values Across Chapel Hill, Chatham County, North Carolina
Source: Ownwell
$102,922
$408,359
$713,796
Median Chapel Hill Market Value
$432,450
Median Chatham County Market Value
$312,558
Median North Carolina Market Value
$221,500
Median United States Market Value
$274,101
Property Tax Assessment Values Across Chapel Hill, Chatham County, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | $236,924 | $316,891 | $389,744 | $455,680 | $531,293 |
| 27517 | $226,965 | $392,912 | $506,288 | $652,732 | $856,492 |
Source: Ownwell
Property Tax Bills Across Chapel Hill, Chatham County, North Carolina
How are property tax bills calculated in Chapel Hill?
Property tax bills in Chapel Hill are based on the assessed value of a home and the local tax rate set by Chatham County and other taxing authorities. When a home’s market value rises, the assessed value can increase as well, which often leads to a higher tax bill. For a home with a median market value of $432,450, the bill can vary widely depending on location, exemptions, and any local levies applied to the property.
What factors affect the amount homeowners pay?
Homeowners in Chapel Hill may see bills that fall below or above the county median depending on the neighborhood and tax district. The 25th percentile tax bill is $2,880, while the 75th percentile is $4,738 and the 90th percentile reaches $6,168. ZIP code 27517 has the highest median tax bill at $4,346, compared with $3,369 in ZIP code 27516. These differences show how property taxes can affect monthly budgets and long-term housing costs.
Property Tax Bills Across Chapel Hill, Chatham County, North Carolina
Source: Ownwell
$927
$3,481
$6,035
Median Chapel Hill Tax Bill
$3,743
Median Chatham County Tax Bill
$2,788
Median North Carolina Tax Bill
$1,813
Median United States Tax Bill
$3,209
Property Tax Bills Across Chapel Hill, Chatham County, North Carolina
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 27516 | $1,899 | $2,712 | $3,369 | $3,935 | $4,619 |
| 27517 | $1,903 | $3,258 | $4,346 | $5,555 | $7,285 |
Source: Ownwell
Don't miss the deadline to appeal!
Dates | |
|---|---|
| Appeal Deadline | April 20 |
Links | |
|---|---|
| Chatham Tax Assessor | |
| Website | chathamnc.devnetwedge.com |