South Carolina's Governor-Elect Alan Wilson Puts Property Tax Reform on the Agenda

South Carolina could see significant changes to its property tax system as Governor-elect Alan Wilson prepares to take office in January 2027. Following his November 3 election victory, Wilson has identified tax reform and affordability as major priorities, with proposals that could affect homeowners, landlords, and real estate investors.

One of his key proposals involves reforming Act 388, which currently allows qualifying owner-occupied homes to receive a lower property tax assessment ratio than most rental properties and second homes.

Under current law, qualifying primary residences are generally assessed at 4% of fair market value, compared with 6% for most other residential properties. Wilson wants to reduce this disparity, potentially lowering the tax burden for rental property owners.

If adopted, the proposal could improve operating costs for landlords and investors, although the actual savings would depend on the final legislation and local tax rates.

More Relief for Homeowners and Businesses

Wilson has also proposed expanding property tax relief for seniors and disabled veterans. His plan includes automatically enrolling eligible seniors in the state's homestead exemption program and expanding exemptions available to disabled veterans.

Another part of his agenda calls for reducing personal property taxes on commercial businesses, potentially providing additional relief to companies operating in South Carolina.

However, these proposals are part of a broader tax overhaul that includes eliminating the state income tax. Such changes could affect funding for schools, public safety, and local government services, making the details of any replacement revenue especially important.

What Happens Next?

Wilson's proposals will require action from the South Carolina General Assembly. No major property tax changes have been enacted as a result of his election, and the details remain subject to legislative negotiations.

For homeowners, landlords, and real estate investors, 2027 could bring important discussions about the cost of owning property in South Carolina. Whether those discussions translate into meaningful tax savings will depend on what lawmakers ultimately approve.