Lower Eastern Shore of Maryland Sees Sales, Property Values Soar

The housing market on the Lower Eastern Shore of Maryland is showing signs of strength after assessment prices to one-third of property owners went up by no less than an average 53 percent.

That’s compared with the area’s property assessments conducted three years ago. But an article Sunday in The Daily Times of Salisbury, Md., found that assessment prices still have some catching up to do.

Somerset County showed the highest increase, with average values up nearly 80 percent. The average in Worcester was slightly higher than Wicomico’s at 54.1 percent. Dorchester increased by 58.5 percent, according to state Department of Assessment and Taxation data.

That compares with a statewide average of 56.1 percent, as all segments of the Maryland housing market have boomed considerably from 2000-2005.

Area officials say the increases in home valuations can be attributed to both higher home sales in the area and consistently low mortgage rates.

Borrowing costs being low mean greater real estate activity. The conditions are not only encouraging more traditional purchases of houses, but larger home improvement loan investments.

While property owners are glad to see their investments are increasing in value, they’re not so happy to see their taxes rise. Making the monthly payments on the Maryland mortgage is hard enough.

“I don’t like to pay higher property taxes, but the house is worth that,” said D. Michael Stein, who’s Orchard Circle home assessment increased more than $60,000.

Officials say the assessment could have been much higher, but the market has cooled down somewhat in 2006 after five years of record growth.