Rental Cabins In Sevier County To See Increase In Property Tax
If you own a rental cabin in Sevier County, get ready to pay more in property tax…alot more. The Sevier County Board of Commissioners has voted to affirm a state law that went into effect in 2021. That law states that properties used as short-term rentals should be classified as commercial properties instead of residential unless certain exemptions are met. This will include Airbnb properties. Basically what this means is that short term rental cabins in Sevier County will change from a 25% residential classification to a 40% commercial classification. For example, a rental cabin that has an appraised value of $500,000 would go from paying $1,850 in property tax in Sevier County to $2,960 in property tax each year. According to Sevier County officials, there are 13,000 overnight rental cabins in the county that could be affected by this change.