What are property taxes? Property tax can be explained as the tax liability imposed on homeowners for ownership of real estate. Tax rates are determined based on the location of said property. The total amount due is calculated by the assessed value of the property in combination with the voter approved levy rate, and any additional county fees.
The amount owed for annual property taxes is based on the assessment of the previous year and can be confusing. With various factors in play there is no way to determine the amount due without all factors in place. Calculations cannot be final until the county certifies the yearly tax for the previous year in addition to the individual’s assessment and fees.
When purchasing real estate, it is beneficial to understand the state laws and how annual property taxes are calculated (this is in addition to monthly mortgage payments and insurance). Taxes cannot be escaped; no more than death.