Los Angeles County Assessor Prang Anticipates 2024 Assessment Roll Will Make History
L.A, County Assessor Jeff Prang
May 16, 2024
LOS ANGELES, CA – Los Angeles County Assessor Jeff Prang reported to the Board of Supervisors on May 15 that taxable property values are anticipated to increase about 4.75% over 2023, marking 14 years of continuous growth, as well as for the first time in history breaking the $2 trillion ceiling for net total value.
The May forecast projects the anticipated growth rate for the annual Assessment Roll, which closes in early July. The forecast is an important tool for local governments as they prepare their annual budgets in anticipation of property tax revenues. The annual Assessment Roll is the inventory for all taxable property in the County and can provide insight into the state of the real estate market and the local economy.
To access the 2024 forecast, go to https://assessor.lacounty.gov/news-information/assessmentroll
“It has been a challenging few years as the local and national economies respond to a variety of factors, whether it be residential or commercial,” Assessor Prang said. “Our analysis indicates that property values are going to grow for the 14th consecutive year, which is good news for property owners and for local government because they rely on property taxes to pay for vital public services. However, sales volume declined significantly in 2023 and commercial properties, especially downtown Los Angeles, have actually experienced huge declines in value.”
Although the housing market has been sluggish on the sales front, home median sales prices (MSP) remained strong, reaching a high of $900,000. Property transfers are anticipated to be the largest contributor to the 2024 Assessment Roll, adding more than $51 billion.
The inflation adjustment mandated under Proposition 13 is the second most significant factor contributing to the Roll, adding the maximum 2% allowable under law and resulting in an estimated $39 billion increase to the 2024 Assessment Roll. The Assessor also expects a moderate increase of $6 billion in new construction, while decline-in-value reductions will remove more than $2 billion from the Assessment Roll.
The $2.09 trillion estimated total net value translates into more than $20 billion in property tax dollars statewide for vital public services such as public education, first responders and healthcare workers, as well as County services. Assessments are based on the value of property on January 1, 2024.
