4% vs 6% Tax Rate: The Burbs Buyer’s Quick Guide

That little “4% vs 6%” note you see on Mount Pleasant listings can change your annual tax bill by hundreds or even thousands. If you are relocating or weighing a second home, South Carolina’s terminology can feel confusing. In a few minutes, you will understand what those numbers mean, how your bill is calculated, and how to claim the lower rate if you qualify. Let’s dive in.

4% vs 6% in South Carolina

In South Carolina, 4% and 6% are assessment ratios that convert a property’s fair market value into a taxable assessed value. A home you occupy as your legal residence is typically assessed at 4%. Most second homes and rental properties are assessed at 6%. You can read the state statute on assessment ratios for the legal definitions and requirements. (South Carolina Code)

These are not the final tax rates. Local millage is applied to the assessed value to calculate the bill. Charleston County offers a helpful online tool to see how this works for your specific address. (Charleston County Tax Estimator)

How your tax bill is calculated

• Start with fair market value for the tax year.
• Apply the assessment ratio:
  • 4% legal residence if you qualify and apply.
  • 6% non‑primary for second homes and most rentals. (SC Code)
• Multiply the assessed value by the total millage for your tax district. Millage is expressed in “mills,” where 1 mill equals $1 per $1,000 of assessed value. The county estimator shows your exact district. (County Estimator)
• Subtract credits and exemptions, then add any county fees to get your net bill. (Charleston County exemptions and programs)

What this means for Mount Pleasant buyers

Choose the right classification

If you will live in the home as your legal residence, you can apply for the 4% legal residence classification. If it will be a vacation home or a rental, expect the 6% classification. The difference matters because the millage is applied after the ratio. (SC Code)

How to apply for 4%

Apply with the county and be ready to show proof of domicile, such as an SC driver’s license, vehicle registration, voter registration, or an SC income tax return with the property address. File promptly after closing to avoid being billed at 6% for the first year. Once approved, the 4% classification remains in place until ownership or use changes. (Charleston County 4% Legal Residence; County FAQs)

If you were eligible for 4% but billed at 6% in error, you may be able to seek a refund through county and state procedures. (SC Code)

Property Tax Relief and Homestead

When your home is approved at 4%, it may also qualify for the State’s Property Tax Relief program. Additional Homestead exemptions may apply for eligible homeowners who are 65 or older or are disabled. Review application steps and eligibility on the county site. (Charleston County programs)

Reassessments and updates

Counties reappraise on a set schedule and values can change. You have the right to appeal assessments and classifications. If your use or ownership changes, notify the assessor and update your classification to avoid penalties. (SC Code)

Local millage context

Your final bill depends on the combined millage for your tax district. Local reporting has cited combined millage in the 40s for many Mount Pleasant districts, but totals vary by parcel and can change with budgets. Always verify your exact number using the county estimator. (Local budget context; County Estimator)

Quick Mount Pleasant examples (illustrative)

These examples assume a combined millage of 44.0 mills. Your number may be different. Use the county estimator for parcel‑level figures. (County Estimator)

• Example A: $600,000 fair market value

  • 4% legal residence: assessed value $24,000. Estimated tax $1,056 per year.
  • 6% non‑primary: assessed value $36,000. Estimated tax $1,584 per year.
  • Estimated difference: about $528 per year.

• Example B: $350,000 fair market value

  • 4% legal residence: assessed value $14,000. Estimated tax $616 per year.
  • 6% non‑primary: assessed value $21,000. Estimated tax $924 per year.
  • Estimated difference: about $308 per year.

The dollar gap grows with both property value and total millage.

Buyer checklist

• Decide how you will use the home. Primary residence usually qualifies for 4% when you apply.
• Apply for 4% legal residence promptly after closing and gather proof documents.
• Run the county estimator for your address to see district millage and estimated taxes. (County Estimator)
• Review Property Tax Relief and Homestead programs if eligible. (County programs)
• If billed at 6% by mistake, contact the county about correcting classification or refund procedures. (SC Code)
• Coordinate tax prorations and any credits with your closing attorney based on your contract and closing date.

Ready to buy smart in Mount Pleasant?

If you want a clear path through the numbers, you are not alone. I help you model scenarios for primary and second homes, align timelines for the 4% application, and pair the right property with your long‑term goals. For calm, expert guidance in Charleston and the surrounding islands, connect with Anna Gruenloh.

FAQs

What does 4% vs 6% mean in South Carolina property taxes?

• They are assessment ratios used to convert fair market value into taxable assessed value. The final bill depends on local millage applied to that assessed value. (SC Code)

How do I get the 4% legal residence classification in Mount Pleasant?

• Apply with Charleston County and provide proof of domicile such as an SC driver’s license, vehicle registration, or SC income tax return with the address. File soon after closing. (Charleston County 4% Legal Residence)

Where can I estimate Mount Pleasant property taxes for a specific address?

• Use the Charleston County Tax Estimator. It combines your parcel’s millage and applies the correct ratios to show an estimated bill. (County Estimator)

Do I automatically get Property Tax Relief after I am approved at 4%?

• Once your home is approved at 4%, it may automatically qualify for State Property Tax Relief, and other programs may apply if you are eligible. Review details on the county site. (County programs)

What if my home is misclassified at 6% when it should be 4%?

• You can appeal and may seek a refund if eligible. Contact the county and follow procedures outlined in state law. (SC Code)

Can the seller cover higher taxes at closing if they had a 6% classification?

• It depends on your contract and closing date. Tax prorations and any credits are negotiated items handled at closing, not automatic adjustments.