Canada to Arizona Real Estate Info
How much are property taxes?
This may actually be the most difficult question to answer. A complicated formula is used to calculate property taxes. Property taxes are based on assessed values, which are rarely the same as the market value. Possibly the best way to get an idea of what the property taxes will be on a property you are considering is to ask me to research what the current, past and projected taxes are.
However, here is a brief description of how taxes are levied. As mentioned it is based on assessed value. In Maricopa County, which contains the majority of homes in the Phoenix area market, owner occupied residential property is assessed at 10% of market value. In a normal market this usually ran 10-30% below true market values. In a declining market you may find that the assessments are actually higher than they will be next year or the year after, as it takes time for the assessor's office to catch up to the market. So, as an example, a property valued at $250,000 would have an assessed value of $25,000. So do you know what your taxes are yet? Well, it will actually vary depending on where you live. The specific tax rate will be determined after different taxes are added up for the cities, bond issues, school districts and more. Although the following isn't completely accurate, many people guesstimate their taxes to be 1%( or less) of the total value per year for single family residences. For example my house was about 7/10 of a percent last year. As I said, it is a guesstimate, but it should give you a general guidline. Condos and townhomes will be less.
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The purpose of this web site is to provide general guidance and information only and DOES NOT constitute tax, legal or investment or other professional advice. It is recommended that for accounting, tax, investment, legal or other professional advise that you consult the appropriate qualified accountant, financial advisor, attorney or other profession advisor. Therefore, Adam Tarr PC and the author of this site can not accept any responsibility for loss which may arise from reliance on information contained in this web site.
Please note that each individual's personal circumstances vary, and your professional advisor (tax,financial, legal, etc) will be able to provide specific advice based on your personal circumstances.