Property Tax

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irvinebullhousing

Well-known member
I been doing some poking around since now that Property Tax bill is available online. To my surprise some of these purchased price over 1+ Million home have a recording of $ 850K or more but much lower than the purchased in price hence the properties tax is much lower. Some of these home purchased at 1.5M range to almost 2Mil in PP. How on earth can this fortunate event occur? I would love to lower my property taxes.

If there are any tax expert, or 1031 exchange expert on this board, please explain.
 
One of them is the age thing, forgot who, but someone recently mentioned it in the last month or two
 
Compressed-Village said:
I been doing some poking around since now that Property Tax bill is available online. To my surprise some of these purchased price over 1+ Million home have a recording of $ 850K or more but much lower than the purchased in price hence the properties tax is much lower. Some of these home purchased at 1.5M range to almost 2Mil in PP. How on earth can this fortunate event occur? I would love to lower my property taxes.

If there are any tax expert, or 1031 exchange expert on this board, please explain.
Click to expand...

Most likely you're looking at the assessed value of a recently closed home.  This will show the assessed value of the land probably based on some equation like the land value (purchase price from developer) + construction costs.

Don't worry, all these people will get supplemental bills in a few months then next year their entire home value will go up to their purchase price.
 
Not sure how many qualify for the rule.

At least one person has to be 55+.

You have to buy something for less than or equal to what you sold.

You have to buy something that has an assessed value more than the assessed value of what you sold two years after or before buying another house.

So you would have to have a profit in the current house (and taxes go up 2% every year so it would have to include additional assessed value from where it was originally purchased).

Buying something for less than that assessed value makes the rule worthless (you would have a lower basis on the new place anyway).

Works for people who bought a long time ago with lots of equity but older folks would want to reduce their expenses in general and not buy a more expensive home.

Mello not included so anything new has nice big fat taxes anyway.

If you have something REALLY old not near the beach or with a view probably wouldn't work at all even though the basis is tiny. My mom's taxes are 900 per year with no mello but she can't buy a darn thing worth less than her house in a decent neighborhood because her house is so old, the house hasn't kept up with newer area appreciation.
 
aquabliss said:
Compressed-Village said:
I been doing some poking around since now that Property Tax bill is available online. To my surprise some of these purchased price over 1+ Million home have a recording of $ 850K or more but much lower than the purchased in price hence the properties tax is much lower. Some of these home purchased at 1.5M range to almost 2Mil in PP. How on earth can this fortunate event occur? I would love to lower my property taxes.

If there are any tax expert, or 1031 exchange expert on this board, please explain.
Click to expand...

Most likely you're looking at the assessed value of a recently closed home.  This will show the assessed value of the land probably based on some equation like the land value (purchase price from developer) + construction costs.

Don't worry, all these people will get supplemental bills in a few months then next year their entire home value will go up to their purchase price.
Click to expand...

That must have been the case. These homes closed a few months ago and some earlier this year. Some of these buyers are from oversea so Straight Out Of Shanghai or Shezhen....No trade up here.  :)
 
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