Craven County Holds the Line on Property Taxes in New Budget — How New Bern-Area Residents Fare in FY 2026–27

Craven County's Board of Commissioners adopted the Fiscal Year 2026-2027 budget, maintaining the property tax rate at 44.48 cents per $100 of assessed value. The county emphasized that the budget maintains services without raising taxes and directs local tax dollars primarily to health and human services, education, and public safety.

Yet the FY 2026-2027 budget includes $11.7 million in increased property tax revenues compared to the prior year, despite the unchanged rate. If the rate is frozen, why is the county collecting millions more in property taxes?

When a Frozen Rate Doesn't Mean a Frozen Bill

When assessed property values increase due to revaluation, homeowners' actual tax bills rise proportionally—even though the rate per $100 stays the same.

For a property assessed at $300,000 at the 44.48 cents per $100 rate, the annual tax bill would be $1,334.40. If that same property was revalued upward by 42% to $426,000, the bill would jump to $1,894.85—an increase of $560.45 per year.

The median property value in New Bern stands at $240,100, while the median home sale price in Craven County is $323,000. For a household at the New Bern median, the annual county property tax bill would be $1,067.89. If that home saw the county's 42% average revaluation increase, the assessed value would rise to $340,942, pushing the annual bill to $1,516.39—an increase of $448.50.

The 2023 Revaluation and What It Changed

Craven County completed its most recent countywide real estate revaluation in 2023, with property values increasing an average of 42 percent over the six-year period since the previous 2016 revaluation. Notifications of new appraised values were mailed in late February 2023. Coastal Carolina Appraiser Bo Allen reported that the Craven County Tax Administrator confirmed the 42% average increase.

Individual increases varied significantly—some homeowners saw jumps as high as 60 percent, while others experienced around 32 percent. New Bern homeowners faced higher property tax bills starting July 1, 2025, following the revaluation, despite the city slightly reducing its own property tax rate.

Craven County's next countywide revaluation is scheduled for the 2028 tax year, meaning homeowners will live with current assessments—and current bills—through at least the next budget cycle.

Who Pays More, Who Gets Relief

Because individual property value increases varied so widely, the actual tax burden shifted unevenly across Craven County neighborhoods. Homeowners in areas that saw 60 percent revaluation increases are paying far more than those whose values rose only 32 percent, even though both face the same "unchanged" rate.

Craven County offers an Elderly Homestead Exclusion for property tax relief with an income limit of $38,800 for the 2026 tax year; qualifying homeowners must be at least 65 years old or totally and permanently disabled as of January 1. The exclusion removes the greater of $25,000 or 50% of the appraised value of a qualifying home and up to 1 acre of land from property tax assessment.

North Carolina's Circuit Breaker Tax Deferment program limits property taxes to 4% of income for residents earning $38,800 or less, or 5% for those earning between $38,800 and $58,200, with excess taxes deferred as a lien on the property. Applications for these relief programs must be submitted to the County Tax Department between January 1 and June 1 each year.

Working families who earn above the $38,800 threshold but still struggle with rising costs receive no relief, absorbing the full impact of revaluation-driven tax increases. Renters also feel the squeeze indirectly, as landlords facing higher tax bills often pass those costs through in the form of increased rents.

Where the Money Goes

The FY 2026-2027 budget includes a $169.1 million General Fund, with property taxes providing 41.8% of general fund revenues. The largest shares of each local tax dollar go to health and human services (26.3%), education (21.4%), and public safety (19.7%).

The budget includes increases to school funding ($26.6 million, up 4.1%), EMS funding ($3.81 million), and Craven Community College funding ($5.4 million). The $11.7 million in additional property tax revenue flows primarily to these increased allocations. The budget maintains the current position count, meaning no new county jobs are being added.

Craven County's property tax rate of 44.48 cents per $100 remains below the North Carolina average county rate of 58.3 cents per $100 for 2025-2026.

What to Watch For

A frozen property tax rate is not the same as a frozen tax bill—revaluations reset the math, and homeowners need to focus on their assessed value, not just the rate. Homeowners should review their property assessment notices carefully and compare the new assessed value to the previous year to calculate their real tax increase. Residents who believe their assessment is too high can appeal through the county's process, but they must act within the designated window after receiving their notice.

With the next revaluation scheduled for the 2028 tax year, residents can expect another round of assessment changes and potential tax bill increases in two years. When county officials announce a budget without a rate increase, residents should ask: How much will total property tax revenue increase? What is the average change in assessed values? And which neighborhoods saw the biggest revaluation jumps?

The Craven County Board of Commissioners includes seven members elected by district: Tim Mason (District 1), Jason Jones (District 2), Beatrice Smith (District 3), Etteinne 'ET' Mitchell (District 4), Shevel 'Sherry' Hunt (District 5), Chadwick Howard (District 6), and Denny Bucher (District 7). Denny Bucher serves as Chairman, and Jason Jones serves as Vice-Chairman. Residents can contact their district commissioner directly to ask how the budget affects their neighborhood and what the county is doing to ensure the tax burden is distributed fairly.