Who Gets Cherry Hills Village's 2027 Tax Holiday When a Home Sells?

"An average benefit of $3800 per household!" That line comes from Susan Maguire, who is running for mayor. Her candidate statement in the October 2026 Village Crier describes a tax holiday on the City's 2027 portion of Cherry Hills Village property taxes.

The figure matches the City's own analysis. The way Colorado collects property tax also points to a less obvious result. For a home that changes hands in 2027, the benefit belongs to whichever party the closing paperwork assigns it to, and that paperwork gets signed before anyone has seen the 2027 bill.

Where the decision stands as of early October 2026

The holiday has been planned, but Council hasn't adopted it yet. At the August 4, 2026 City Council meeting, Finance Director Kelly Newman presented two options for giving money back to taxpayers in 2027: a one-time rebate check or a one-year property tax holiday. Council dropped the rebate idea. Mayor Brown then confirmed that Council's direction to staff was to plan the 2027 holiday and start building a communications plan for residents. The plan would reduce the City's combined General Fund and Parks Fund levy of 14.722 mills to zero for one year. The City has not raised that levy since 2005, the year the Parks Fund was created.

The formal steps happen this fall, on a schedule Council set in January:

The holiday becomes official when Council adopts a mill levy ordinance that sets the City's 2027 rate at zero and certifies it to the county. The Villager's August 27 coverage ran under the headline "CHV to waive municipal property taxes in 2027." The body of the article describes a staff recommendation and projected savings. Anyone writing 2027 dates into a contract this fall is relying on a December vote that hasn't happened yet.

The relief shows up on a bill mailed in 2028

According to the Colorado Division of Property Taxation, property tax bills cover the previous year's taxes and are mailed after January 1. If the holiday is adopted and certified on schedule, a homeowner would first see it on the county bill that arrives in early 2028. Under Arapahoe County's current schedule, the first half is due by the last day of February, the second half by June 16, and full payment by April 30. Those dates should be checked against the 2028 calendar when it is published.

City Manager Cramer told Council the holiday "will appear as a line item within the overall property tax bill" and that residents might overlook it without proactive outreach. The line item is fairly small. According to The Villager, Cherry Hills Village has about 2,000 single-family homes, and their 2027 property taxes are expected to average $26,000 per home. About $3,800 of that goes to the City. The City's levy accounts for about 15% of residents' total tax levies.

The other roughly 85% stays on the bill. Arapahoe County's 2025 abstract lists the county levy, the Cherry Creek 5 and Englewood 1 school districts, and special-district entries such as Cherry Hills Fire Bonds Only. The county applies levies by tax area. Which districts appear on a particular bill depends on the parcel, so the exact makeup has to come from the taxing entities or the parcel's own bill.

Owners in the City's two General Improvement Districts have one more charge to account for. The same county abstract lists the Charlou Park GID and the Southmoor Circle/Hudson Parkway GID. Cramer said on the record that residents in those districts "will continue to see GID assessments on their bills." He added that he wanted to make sure no resident would be surprised to still get a property tax bill.

Who the money reaches

Mayor Brown raised the ownership issue herself during the August discussion. According to the minutes, she noted that someone who had just moved to the City would get the benefit of a tax holiday "funded by decades of contributions from previous and current residents." She said she was comfortable going ahead because the holiday doesn't use up the City's surplus and future Councils could revisit the question. Mayor Pro Tem Hoellen replied that the money belongs to taxpayers and the City shouldn't hold it longer than necessary.

The discussion confirms that the holiday is tied to ownership during the 2027 tax year, not to how long someone has lived in the City. Most households will feel the result in their own budgets. The households that buy or sell a home in 2027 face a less obvious question.

Take a sale that closes in, say, June 2027. Because taxes are paid in arrears, the 2027 tax bill won't exist on closing day. Buyer and seller split the year's taxes using whatever basis the contract specifies. If that basis is the most recent bill on record, the estimate will include a full City levy that the actual 2027 bill may leave out. A seller credits the buyer for the months the seller owned the home. That credit can reflect City taxes nobody ends up owing for 2027, while the buyer pays the actual, lower bill in 2028.

Whether that happens depends on the proration terms in the contract and how the title company calculates them. Colorado's Commission-approved residential purchase contract, form CBS1, is the version required for use since January 1, 2026. Its proration section, and any choices the parties make in it, decides how a $3,800 average line item is split. Anyone buying or selling should ask the title company before signing what tax basis it will use for a 2027 Cherry Hills Village closing, and whether the parties have agreed to any adjustment once the real bill arrives. This post is general information. Contract terms are a question for your attorney and title professional.

Why Council chose a one-year holiday

Council's choice of a one-year holiday over a lower permanent rate also tells buyers something about the years after 2027. In public comment at the August 4 meeting, Freda Miklin asked why the City wouldn't just lower the mill levy. Mayor Brown called the holiday "a first step." She said the levy may be higher than the City needs, but under TABOR a reduction can't be reversed without a vote of the people, so the City wants evidence of a structural surplus before cutting the rate permanently.

The City's numbers are behind that caution. In staff's scenario, a full one-year holiday for both funds still leaves about $10.9 million in total fund balance at the end of 2045. Staff called the revenue model conservative: it budgets sales tax growth at about 2%, while actual growth through June was running near 4.5%. Newman offered to add a formal review of fund balances against the reserve policy to each year's budget process, so future Councils would get a regular chance to consider more relief.

The levy is set to return in 2028. For a buyer comparing carrying costs, the full levy is the starting assumption. Whether 2027 turns out to be a one-time event depends on decisions future Councils will make each year.

Compared with recent luxury sale prices

At the top of the Cherry Hills Village market, negotiation this year has moved prices by far more than $3,800. According to BusinessDen, 7 Village Road sold for $7.1 million on July 29. It was first listed at $10 million and relisted in February at $8 million. The Denver Post reported that an Old Cherry Hills estate of about one acre sold in August for $7.3 million, $200,000 under its list price, after going under contract about a week after its July 9 listing. A remodeled home in Woodie Hollow Park closed August 21 at $6.9 million, $300,000 below its $7.1 million asking price.

Metro-wide data from DMAR's August 2026 report shows how much room buyers have at that level. In August, the Denver metro's $2 million-and-up detached segment had 92 closings, 505 active listings and 5.49 months of inventory. Those figures cover the whole metro, but they match the price gaps in the three local sales above.

With list-to-sale gaps measured in hundreds of thousands of dollars, a one-year average saving of $3,800 is unlikely to change a list price. It will change a settlement statement, which is why the contract terms matter more than the headline.

Other decisions on the same fall calendar

Two land-use items are on the same calendar. On August 18, 2026, Council extended its moratorium on new subdivision applications through January 4, 2027. The moratorium covers sketch, preliminary, final and amended plats and minor subdivisions while the City studies how development affects parks and other City facilities. Complete applications filed before the extension, and subdivisions already approved, can proceed. On November 3, voters will decide Question 1, a charter amendment adding Section 1.6. It states that planning, zoning and density in the City are matters of local concern, to be regulated under the Charter "irrespective of state mandates."

Quick answers

Is the 2027 tax holiday final? No, not as of October 3, 2026. Council directed staff to plan it on August 4. Adoption requires the Budget and Mill Levy Ordinance to pass on second reading before December 15, 2026.

Will my 2027 property tax bill be zero? No. Only the City's 14.722-mill General Fund and Parks Fund levy is affected, which is about 15% of the average total. School, county, fire and other district levies stay on the bill, and GID assessments continue.

When would I see the savings? On the county bill for tax year 2027, which is mailed in early 2028.

I'm selling in 2027. Does this affect my closing? It might. It depends on how your contract and title company prorate 2027 taxes, which haven't been billed yet. Ask them which tax basis they plan to use before you sign.

Questions about how a tax year nobody has been billed for yet will affect your sale or purchase are part of the closing process Whitney Cain handles with clients in Cherry Hills Village. If you plan to list or buy in 2027, let's connect early and go through the proration terms with your title team well before closing day.