The value of real estate in Prince George’s County rose at a higher rate than any other Maryland county over the past three years, far outpacing Montgomery, according to new data from the Maryland Department of Assessments and Taxation.
According to the report, Prince George’s County properties, which were last assessed in 2004, increased a total of 51.6 percent, while the statewide average increase for the same three-year-period was 33.2 percent, and Montgomery County’s increase was 16.2 percent. Only Baltimore City had a higher property value increase, with 75.0 percent.
James P. Keary, spokesman for Prince George’s County Executive Jack Johnson, said Prince George’s County real estate prices have not suffered as much as other Washington-area localities have from the nation’s struggling housing market.
“We’re not seeing the hits that the rest of the region is seeing mainly because [Prince George’s County] is still a good deal,” Keary said. “The market remains strong here and we’ve seen higher-quality developments occurring in the county. You have one of the largest developments on the East Coast — the National Harbor project — going on in Prince George’s.”
The state assessment report said that in Prince George’s the value of residential property increased 48.9 percent, and the value of commercial property rose 64 percent. In comparison, there was only a 14.6 percent increase in the value of residential property in Montgomery, and a 23.2 percent increase in commercial property values.
Hank Sikorski, state supervisor for real properties, told The Examiner he was not surprised that Prince George’s property values are growing more quickly than Montgomery County’s, because property values in Montgomery County started higher.
“In Montgomery County, the real estate market peaked earlier thansome of these other jurisdictions, and for that reason there was not much appreciation this year,” Sikorski said. “The market has slowed down, it can’t run forever. While Montgomery peaked in 2005, Prince George’s is peaking now and the changes are working their way across the state.”
Residents should not expect their property taxes to increase at the same rate as property values, however, because of limits on how much property taxes can increase in a year. Prince George’s County caps property tax increases at 4 percent per year, and Montgomery caps them at 10 percent a year.
