Baltimore City’s Board of Estimates recently agreed to lower the property tax rate in the upcoming fiscal year, decreasing it by a total of 14 cents over two years. This action is part of Mayor Stephanie Rawlings-Blake’s plan  to reduce the property tax by 20 cents by the year 2020.

As reported by the Baltimore Sun:

The tax break, approved without discussion by the Board of Estimates, will lower the property tax bill for an average home by $174. The bill for a $145,500 house will drop from $3,269 to $3,095 in the fiscal year that begins July 1.

The tax break is part of the Targeted Homeowners’ Tax Credit. The rate for rental properties and businesses will remain $2.25 per $100 of assessed value.

That proposal, which still needs City Council approval, would give a tax credit for 10 years to developers who build or renovate apartments throughout the city.

Intended to spur apartment construction and renovation citywide, the credit would give developers an 80 percent break on taxes due for any value added to the property by the project. The percentage would gradually decrease after five years.