Executive Summary

The REALTOR® Alliance of Greater Cincinnati (RAGC) supports the approval of a total property tax rebate for homeowners in Hamilton County in 2024. A thirty-percent rebate, the highest permitted percent, would provide significant financial relief to homeowners, boost real estate transactions, and positively impact the local economy. Recently, the RAGC Board of Directors adopted an official stance to advocate for and work with Hamilton County Commissioners to support this initiative, highlighting the benefits for homeowners, REALTORS®, and the broader community. 

Why This Matters to REALTORS®

As a real estate professional, staying informed about the local factors that impact property ownership and taxation is essential. One such factor in Hamilton County is the annual property tax rebate, voted on by the Hamilton County Commissioners. This rebate stems from an agreement related to the financing of new stadiums for the Cincinnati Bengals and Cincinnati Reds. It is an essential point of knowledge for REALTORS® assisting clients with property taxes. 

The property tax rebate is an attractive feature for homeowners and potential buyers in Hamilton County. As a REALTOR®, knowing about this rebate allows you to: 

Highlight savings: When discussing property tax costs, you can inform clients of the rebate and its potential to lower their overall tax burden. 

Advocate for clients: Understanding the rebate process enables you to guide homeowners and potential buyers through discussions with the Hamilton County Auditor’s Office if they have questions about their tax bill. 

Staying current on rebate percentages and related tax news will ensure you can provide your clients with valuable, up-to-date information. 

When did this rebate start? 

The property tax rebate was introduced in the late 1990s as part of a deal struck between Hamilton County and local sports franchises. The revenue generated by the stadium’s sales tax funds is intended to offset county residents’ property taxes, resulting in an annual rebate. Each year, the Hamilton County Commissioners vote on the rebate percentage based on available funds from this stadium-related sales tax revenue. 

Understanding these rebates can help REALTORS explain potential savings to homeowners or buyers and highlight the benefits of living in Hamilton County. 

Background: The Current State of Property Taxes in Hamilton County 

Property taxes in Hamilton County have steadily increased over the past several years, driven by rising property values, increasing economic indexes, and growing county budgetary needs. Most recently, during the triannual assessment, many Hamilton County homeowners received a significant increase in their property tax liabilities.  Some property tax increases were double and triple that of prior assessment determinations. While these taxes fund essential public services such as schools, emergency services, and infrastructure, they also place a financial burden on homeowners, many of whom are already feeling the effects of inflation and higher living costs. But what is most worrisome is the effect of increased taxes on vulnerable populations such as first-time homebuyers and senior citizens on fixed incomes. 

The State of Ohio and its state elected officials are the statutory agents that determine the property tax assessment formulary. Unfortunately, they have not been successful in passing a fix to the currently used but outdated methodologies and strategies, which could provide relief to many of Ohio’s homeowners. 

For 2024, a total property tax rebate of thirty percent would allow homeowners to receive a one-time rebate on their property taxes, providing immediate financial relief to many homeowners. This initiative has been gaining support among community groups and could prove essential to helping families maintain homeownership during these challenging economic times. 

Historical Rebate Levels

In Hamilton County, property values increased an average of 28% while property taxes rose by an average of 10.4%. The county has offered a 30% rebate only three times in the last decade — 2012, 2017 and 2022. The County Commissioners vote in the fourth quarter to approve a rebate recommended by the County Administration. The rebate hits homeowners in the first quarter of the proceeding calendar year. In most recent years, the County Commissions approved the following rebates: 

• 2021 – 6%
• 2022 – 30%
• 2023 – 10.5%
• 2024 – 12.4%

Why RAGC and Its Members Should Advocate for a Full Rebate

1. Alignment with RAGC’s Mission and Values

The REALTOR® Alliance of Greater Cincinnati is committed to supporting policies that promote sustainable homeownership, protect property rights, and enhance the economic vitality of our region. Advocating for a full property tax rebate aligns with these values by: 

• • Promoting homeownership: By making homeownership more affordable, the rebate advances the association’s mission of encouraging homeownership and preserving housing opportunities for all. 
  • Protecting property rights: High property taxes can feel punitive to homeowners and reduce the incentive to invest in or maintain a property. A tax rebate respects the financial rights of homeowners. 
  • Strengthening the local economy: Supporting the local real estate market and economic growth is central to RAGC’s goals, and this rebate would achieve that by allowing homeowners to reinvest in their properties and communities.  

2. Promise to Homeowners

The RAGC Board of Directors supports a full 30% property tax rebate because it was a promise made to taxpayers and homeowners when the stadium sales tax was approved in 1996. However, the County and County Commissioners have not consistently approved the full rebate since 2022 due to budget constraints. In the last decade, the full 30% rebate was only provided thrice: in 2012, 2017, and 2022. Homeowners have borne the burden of rising property valuations and increased taxes, and delivering the full rebate as promised is essential to maintaining trust and providing financial relief to our community. 

3. Benefit to Homeowners

The most immediate and direct beneficiaries of a total property tax rebate would be homeowners in Hamilton County. A significant portion of Hamilton County’s population comprises middle-class and working-class families for whom property taxes represent a substantial annual expense. A rebate would: 

• • Provide direct financial relief to households, freeing up income for necessary expenses such as home maintenance, healthcare, or education. 
  • Help those at risk of foreclosure by reducing the financial strain of homeownership, potentially saving homes and stabilizing neighborhoods. This is especially important since state elected officials have not expanded eligibility for the Homestead Act. 
  • Encourage new homeownership by reducing the overall costs associated with purchasing and maintaining a home in Hamilton County. 

4. Impact on REALTORS® and the Real Estate Market

A full property tax rebate would stimulate the local real estate market in several key ways: 

• • Increased home sales: With reduced tax burdens, current homeowners may be more willing to list their homes, creating more inventory for buyers. 
  • Buyer incentives: Lower tax expenses can incentivize first-time homebuyers and those moving to the area, increasing the demand for homes. 
  • Market stability: A property tax rebate will contribute to market stability by preventing foreclosures and reducing financial pressures, allowing REALTORS® to operate in a healthier, more predictable real estate market. 

Additionally, REALTORS® are often trusted advisers to their clients, and the advocacy for policies that benefit homeowners strengthens that relationship. Supporting this rebate will further cement REALTORS® as advocates for affordable and sustainable homeownership. 

5. Positive Effects on the Community

The community as a whole would see several benefits from this rebate: 

• • Economic stimulus: Homeowners with more disposable income may reinvest in the local economy by spending on home improvements, retail, and services. This infusion of cash into the local economy can lead to job creation and overall economic growth. 
  • Neighborhood stability: Communities with fewer foreclosures and less financial strain on homeowners tend to be more stable, with lower crime rates and higher property values. A property tax rebate would help stabilize communities, ensuring they remain vibrant and attractive to new residents. 
  • Public goodwill: Hamilton County residents would recognize RAGC’s support for policies that directly benefit their financial well-being, increasing the association’s visibility and goodwill in the community.

Conclusion

The 2024 full property tax rebate represents a unique opportunity to provide meaningful financial relief to homeowners in Hamilton County, stimulate the local real estate market, and stabilize communities. The REALTOR® Alliance of Greater Cincinnati has a vested interest in advocating for this policy, as it directly supports the association’s mission of promoting homeownership, protecting property rights, and fostering economic growth. Its formal endorsement and active lobbying for this initiative will benefit the local economy and strengthen RAGC’s position as a leader in the community and a champion for homeowners.