How a revaluation will impact your rates

Your new 2018 valuation will be used to calculate rates from the start of the next rating year, which begins on 1 July 2019.

The Council does not collect more rates as a result of increased property values or less rates if values decrease.

To demonstrate this, if rates were calculated based on the current year's budget, using the new 2018 valuations, the total rates collected from existing ratepayers within each rating sector (i.e. residential, commercial, other) would remain the same. 

However, within each rating sector, an individual properties share of rates may change based on their valuation changes when compared to the average change. 

In the example of a residential property, if the property had a valuation increase  greater than the average increase over all residential property, it is likely that the property will receive a rates increase.  If their valuation change was less than the average, they may see a rates decrease. The greater the variance from the average, the greater the change.

The average capital value increase for all residential property is 30.3%. The average land value increase for residential property is 61.1%.  

In addition to the valuations, there are other factors that will influence rates changes:

  • As part of the Council's 10-year plan, a 3.8% rates budget increase is proposed for next year (2019/20).
  • The Council is currently transitioning from land value to capital value rating. Rates from 1 July 2019 will be set  using a combination of your property's capital value and land value,  therefore your proportion of land to capital value will also have an impact.
  • On 1 July 2018, the Council introduced a Uniform Annual General Charge (UAGC). The UAGC is a fixed portion of the general rate, charged to all ratepayers in the same way. The general rate is made up of a combination of this fixed charge plus the capital value rate. As part of the 10-year plan, the UAGC  is to transition to a higher level over three years. ​

We will be doing further work once the revaluation process is complete and will have rates estimates available early next year.

Page reviewed: 21 Nov 2018 7:33am