Rising Property Taxes in Colorado: Concerns for Homeowners

Mike Fitts, a 76-year-old resident of Centennial, has owned his home since 2001. Two years ago, he paid nearly $3,900 in property taxes to Arapahoe County.

Recently, he discovered through the county’s website that his tax bill for 2026 has risen to over $5,400. This amount already includes a $750 discount from the Senior Homestead Exemption.

In essence, that’s almost a 30% hike—more than $1,500—over just two years. This is particularly tough on residents like Fitts who rely on fixed incomes, consisting of Social Security and a pension from his time at Gates Labor.

The start of the new year has left many Colorado homeowners surprised by these growing property tax bills. Some areas have reported increases ranging from 20% to over 40%.

For numerous homeowners, this translates to tax increases exceeding $1,000 in the last couple of years.

Fitts and many others find themselves affected by legislative changes related to property taxes that were enacted in 2022 and 2024.

In 2022, Senate Bill 22-238 was introduced, lowering assessment rates and offering a $15,000 reduction in residential property tax assessments for the 2023 and 2024 tax years.

The majority of these reduced tax payments are collected by the state, which then disburses funds to counties and special districts for essential services like fire and police departments, hospitals, and schools.

In 2024, lawmakers crafted Senate Bill 24-233, which aims to boost the assessment value discount to $55,000, as part of an effort to tackle what Governor Jared Polis termed the “property tax war.”

However, these measures are essentially temporary fixes.

The discounts expired on January 1 for property taxes assessed in 2025, which is resulting in significant spikes in bills for nearly everyone.

Cindy Braddock, the Boulder County Assessor, mentioned that while she hasn’t yet received calls from Boulder residents about this issue, the tax bills are soon to be released.

“They’re coming,” she remarked, anticipating an influx of inquiries.

Her office also noted that some homeowners might find their taxes rising even without substantial changes in their property values.

According to Braddock, those most affected will likely be owners of manufactured homes. She explained that the $55,000 adjustment from SB 24-233 would nearly eliminate property taxes for homes priced below that threshold. This law allows for a base assessed value of just $1,000, potentially leading to total tax exemptions.

While a one-bedroom manufactured home might typically cost around $60,000, existing homes could be priced even lower.

For instance, a home valued at $100,000 would incur about $275 in taxes in 2024, but that amount could soar to $550 by 2025, due for payment this year.

Braddock emphasized that everyone would feel the sting of losing this $55,000 adjustment. Many people living in manufactured housing previously paid minimal taxes, and now, their bills could return to past levels.

“Understanding property taxes can be tricky. We’re here to make this process as clear and manageable as possible,” Braddock added, reinforcing their commitment to assist residents.

She encouraged homeowners to explore different relief options, such as reaching out to county treasurers about available tax deferral programs. Homeowners can take out low-interest loans to cover annual taxes. With changes coming in 2025, applications are now being accepted; the deadline is in mid-March.

Another option would be to challenge the assessed value of their homes, as Braddock noted.

She pointed out that relief might not be permanent. If provisions from HB 24-1001 are implemented, property taxes for 2026 could be lower, especially with a proposed 10% reduction on assessed values up to $700,000.

Still, how much homeowners are affected will largely depend on fluctuations in their properties’ assessed values, along with any new taxes that might be introduced.

This shift stems from House Bill 24B-1001, passed during the 2024 special session, which adjusted provisions in Senate Bill 24-233 to include a 10% reduction.

As of now, state lawmakers haven’t prioritized addressing the surging property tax bills. When asked about ongoing legislative efforts, there were only two proposed bills, neither focused on residential tax rates.

Fitts believes he might be facing one of the highest tax increases in his city and hasn’t yet received official documentation confirming the change. His findings are based solely on information from the county assessor’s site.

In addition, he owns a townhome in Vail, where he anticipates a tax increase of around $600.

While he understands the rationale behind taxing wealthier individuals, he worries about the tax implications for his property.

Having bought his home for about $240,000 back in 2001—what he considered quite expensive at the time—he argues, “I’m not a wealthy person with a pricey house.”

The unintended impression that his financial situation might suggest wealth is frustrating for him. “I was shocked and angry when I saw my tax bill,” he said. It feels like his tax burdens keep mounting without solid justification.

He plans to formally appeal his tax assessment.

Despite these increases, Colorado still maintains some of the lowest property taxes in the nation, though escalating home prices—averaging around $502,200—offset any advantages, resulting in property tax rates that aren’t as low as in other states.