California proposition 13 saved my parents big time so that they could stay in their home. At least on prop 13 it can only go up max 2% a year. It wasn't a perfect solution but way better than other states that have no limitations on yearly increases!
Property taxes are ridiculous. I've had past experience when I purchased land in a mobile home subdivision and set my mobile home there. The mobile home was taxed as a stick built house for multiple years. Finally, the county corrected this and publicly admitted the "mistake". I publicly confronted the county asking if our money would be refunded. The response? " We can't do that, the money has already been spent!" Currently, I've lived in a county and bought/lived in stick build homes for nearly 30 years. My homes were each over 100 years old when purchased and well within my low income/frugal life and I paid off one before buying the next. Property taxes have gotten so out of line not only due to the new construction but also the amount schools are allotted (I've never had a child in this town/county). I keep my home tidy and yard meticulous yet it will never compare to the new $150k home next-door and taxing it as such is ridiculous!
If you do not have school children you can tell them that you don't want to pay school taxes. I'm not certain where you live but that's true in Georgia
I recently sold half my tech stock holdings due to all-time highs, leaving me with $400k. Should I invest in ETFs now or wait for a market correction considering potential inflation?
The problem w property Tax. The Govt. spending always outpaces the incomes of the homeowners. Especially when you consider that every single person will be too old to work one day.
they should cap property taxes for anyone who is 65 or older so they don't get priced out of their homes as they retire and are on a fixed income. When they die then the tax equals out.
I look at my property taxes have gone up 320% since I bought my house. It was reduced a bit since I became disabled and once I hit full retirement age the school population comes off the property taxes bill.
Clark, the issue with property taxes isn't only the increases in home values. In many counties, the commissioners are spending money like drunken sailors buying/building huge office buildings, adding employees (adding worthless director positions of this and that) and other senseless spending. The same trend is often happening in the school budgets which the property tax also pays for. The voters of any area that are facing these increases need to look at the trajectory of spending in their county and vote accordingly.
So right, governments have become more glutinous, they buy commercial vacant buildings for increasingly growing employees and in doing that, the commercial buildings becomes a burden to the taxpayers and is no longer collecting tax on that commercial buildings. I live in a town that the mall which was failing, the government bought and it had deferred maintenance
In some areas, seniors who are low income can apply for reduced property taxes however they make the process so complicated and overwhelming with all the required docs and general paperwork, that many seniors just give up and eventually have to move as they are taxed out of their homes. The politicians do not care.
Also even as some people get relief because of this ,others' taxes just go up that much more in order to accommodate the program including long term residents of over 70 years age (paying the exorbitant taxes and increases) makes no real difference whether the taxes are manipulated by increasing the assessments yearly to the max or raising the tax rate per unit assessed value
@@davidpowell3347 the shameful part of this at least in our state, is even with ridiculously high property taxes, gas tax, license tab taxes and all the other taxes, there is a huge deficit and the legislators are preparing to raise the taxes even more to address their out of control spending
It is still not enough with the way real estate goes up in this state. Our property taxes have doubled at least since we bought our house 22 years ago. We live in the California Central Valley. In other more urban counties the taxes are even higher. My brother's house in the City of Orange has about doubled in value in 10 years. His property taxes were north of $10,000 in 2016! I can't imagine how high his taxes are now!
My parents were able to take advantage of Proposition 13 in Southern California and their property taxes was capped at $2k/yr. They were even able to transfer that rate once to a different property one time only. Later he put the property in a trust and when he died 2 years ago the house stays in the trust and us kids can keep it until it is decided to sell if we ever sell it. $1.5M home in Southern California with $2k/yr property tax. Brilliant. That is how you create generational wealth. On the other hand I line in Pennsylvania in the same home for 35 years and my property taxes has tripled from $5k/yr to over $15k/yr currently. I agree if over 65yo and lived in your home over 25 years you should pay no property tax. My future will be I will have to sell and move due to increasing property tax.
Small fyi, the gift tax exclusion for 2025 rises to $19,000 per person vs the $18,000 noted in your answer to the vehicle gifting question you fielded.
Although there may be a connection, property taxes are not directly affected by home values. First, changes in property assessments often lag far behind changes in value. Second, when all property is assessed, including commercial property, the amount needed to run the town or other entity is divided proportionally between the assessed properties, sometimes with a greater percentage charged to commercial. If the cost of running the jurisdiction stays the same, the individual dollar amount assessments will usually stay the same, even if the tax base increases drastically. If the cost of running the town increases 5%, each assessment will be increased by 5%. What a homeowner pays is not directly related to changes in home value. However, a truly equitable solution would be to eliminate these taxes on homeowners and instead implement a truly progressive national, state, and local income tax that makes a smaller impact on those people and corporations who have little and a fair, larger impact on those who have more. There should be a personal exemption for each individual living in a household and a household exemption, but no itemization that tends to distort the economy.
Property taxes in IL are so onerous that collection rates in some less affluent suburbs in Cook county are around 50%! Needless to say the higher taxes go the less the property value becomes. A doom loop tax cycle that has been occuring for years. Politicians are seemingly unable to see (or react to) this.
Texas recently increased the homestead exemption from $40k to $100k ($110K for seniors) that took a big bite out of my property tax bill. It is now $2k less than when I bought my house 20 years ago. This would only protect a primary residence but that's okay by me.
I retired and moved to Texas from CA in 2005. Everything in Texas was cheaper. At that time everyone was up in arms because gas was about to hit $2. No one in CA could believe that gas in TX was so cheap. I sold my house in LA for 20 times what I paid for it and bought a house twice as big with just the equity. Property tax percentages were higher but the valuations were very low. Utilities and insurance were far less. The big thing was that not paying CA Income tax of 9.3% saved me more than my my TX property tax bill and still does. If I was still in CA I would be paying in income tax $10k more than my TX property tax. I know, I do the math each year because it makes me smile.
I hope Darren's son from Missouri listened to this podcast and take's a lesson from David from GA.... Divorce is the single greatest way to vaporize your financial future.
At least for seniors and those with debilitated disabilities should have real estate taxes eliminated or at least cut in half. My mother real estate taxes on a 950 sq foot town house are over $7000 on a fixers income of less than $36000. And it’s too expensive to move now as well on this market.
Many localities have programs for seniors ti make property taxes lower than would be for non-seniors. Example, Dutchess County, NY, there’s “STARS” program.
Level term life insurance with a set premium for the 10-20 year term works fine until you realize what the new premium will be for the next 10-20 year term. Most people find that they can no longer afford to keep the term life insurance in force beyond the initial term. Term life insurance is affordable until you get older and then, not so much.
Unfortunately, good point. Maybe the rule of thumb should be to always buy a 30-year term to maximize the lower cost before needing to buy another one. 💚
On a 10 or 20 year term, do a "re-entry" every 5 years or so. As long as you are still in good health, that extends your insurance out for another 5 years at minimal cost.
I went from full time teaching for almost four decades to being an adjunct. I teach four hours a week and love it. No stress, a bit of money, and time with former friends and colleagues. I don't have to work since I get a pension, but I have the perfect work-life balance.
The overall mill rate should be lower as the assessed values are increased on homes, given that a municipality is keeping their spending in check and not increasing it. The property tax $ amount should stay basically the same. If property taxes are increased, that means the municipality is spending more money on there services. Dean
I retired about 1 1/2 years prior to my goal of at least fra. Factory assembly for nearly 30 years was more than I should have done. I thought I'd work part-time but I'm done. I'm far from rich but luckily I'm frugal...Medicare is my largest expense (more $ than my frugally affordable mortgage which amazes people) but I'll not go back to work. Im physically/mentally done with it and I'll not be forced to work until the day I die.
In rural America, property taxes make up a fraction of what it cost to provide services. Example: a new police car can run $50,000, a fire truck $250,000. Officers in my area make $40 an hour but can retire after 20 years on the job with benefits paid by the taxpayer. Someone has to pay for this. We have been lucky over the years receiving federal grants for our water and sewer system, schools, roads, bridges (recent $5 million bridge replacement) and other infrastructure, but there will be a day when the Feds say no. Our school gym was just rebuilt at a cost of $10 million (estimate). The town has only 1,000 people so you can do the math.
Stealing homes of the elderly is CRIMINAL. Granted, many WEALTHY seniors have owned their homes 50 years or more. I think a W2 could be presented to show income, a bank statement 1099, maybe other things could be used to prove tax elimination or reduction for the eligible senior or seniors. I think a socialist style tax surcharge could be added to tax bills of other homeowners. I personally would be willing to pay a little more so the elderly aren't forced out of their homes. I do have a few concerns....many seniors are not only unable to pay their taxes, they can't afford to maintain the home and yard. It can also be unsafe for them, especially if one spouse has died. It may be good for some seniors to SELL their homes and get an apartment. There are senior apartments with low rent based on income. If you can't pay property taxes, you probably can't afford to keep the home in good repair, and as it falls into disrepair the damage can grow to where the home is unsafe and has little value. I see it in neighborhoods built in the 1950's and 1960's...there is usually an old car in the driveway covered in tree sap, roofs with moss, dirt yards because the tree roots and shade keep grass from growing, weeds around the house, possible roots damaging driveways, foundations, and warer and septic systems...the insides can be dark, dreary places full of books, papers, memorabilia. I have seen foundation issues causing floors to mess up, roof leaks from damage or age, appliances and plumbing issues, broken HVAC systems. Many kids are far away and they don't visit often. The elderly did buy the home, paid it off, and maintained it as long as possible. It's sad to see the home fall apart around them...while they TOO may be "falling apart".
A lot of Folks don’t even live till 70 years old to delay SSI, my father & father in-law both passed at 67 years old, they both were able to collect a few years by claiming early, my sister RIP was gone at 60, it just doesn’t make any sense for most people to delay SSI especially past FRA! (In my humble opinion)
You're right! Even if you don't need it, take it early & bank it! Don't forget, in those first years, it's your own money that you are just getting back!
The fairest solution to high property taxes is to reduce the millage rate. Just because property values skyrocket does not mean spending at the county level has to skyrocket in tandem. Second best would be to let current residents defer property taxes increases until they move or die. Pay a capped value now and the rest later. The deferred taxes would be adjusted for inflation but not interest and would be due when the house is sold. As someone living in a paid off house I bought for a third its current value 18 years ago my paying far less in property taxes than new residents who can barely afford their mortgage would be grossly unfair. While nobody want to see people forced out of their home by tax increases not every retired boomer is broke and struggling, its no wonder a lot of younger people see those in generation as greedy. Buying a house is a lot harder now than when I bought my first home, we shouldn't be making it harder.
Colorado has a "homestead" option where if you have been in a home for 10 years and 65 or you qualify for 50% off the taxes. I dont object to school taxes because if you keep a kid in school, they are more job options available to them.
@@barbaramartinez9290 Interesting. I live in Texas. Recently, they increased the homestead exemption from $0k to $100k, $110K for seniors. I took a big bite out of my property tax... no 10 year requirement.
It's what's not taxed that could make a difference. Stock share purchases are untaxed property. Stock sales are taxed at far too low a rate (look at stock buybacks and who does them). Offshore investments by utility companies are untaxed. FICA limits could be raised. Even a tiny amount could raise a lot of money.
$20 says the mortgage company with the silly name is Mr. Cooper. We had issues with them when they were Nationstar. They improved after transitioning to Mr. Cooper and were fine.
We had a mortgage from BB&T once. We were paying an extra amount towards the principle. When we rewrote the loan, the principle balance didn't agree with what we had (we kept the record). We always noted the extra amount was to go towards principle on the ticket and also on the check. Found out they were putting towards the interest for the following month. I made an Excel spreadsheet and brought it to the bank. The branch manager didn't know how to figure out the amount towards the principle that they owed us. We have to go all the way up to the one of VP to get it resolved.
We're not thinking about root causes. Property taxes pay for roads and schools primarily. Why should a family be charged higher taxes based on the price of their home, which has little to nothing to do with how much you use roads, or how many kids you have in school? First, we need budgets that must be transparent to taxpayers, and then we need to fairly spread those costs across ALL residents who benefit from the services provided from property taxes. Perhaps change it from property to use taxes. That way, we all contribute (even renters who use roads and schools) and we hold entities accountable for the expenditures they make for these services and vote on increases so they don't have a blank check like they do now. Why do we just accept that taxes go up because housing prices go up?
Property tax is the least regressive tax we have. Of course u don’t get rid of it. If you have local government that u believes over spends elect new representatives, or see if your money is being used in ways you’re not aware of that would make you feel better. Also, being old is not synonymous with being broke. The older people in the US actually are better off than the younger ones on average
Are the property (home) tax increases proportional to the increases in County Board or County Board of Supervisors' pay ? !! "tax to the max" scheme where a new "fee" for "water pollution abatement" was created and added to the already high and increasing property taxes bill although property taxes already supported the wastewater treatment plant and infrastructure
The way the California property tax system was explained to me is the higher taxes go to the new buyer because if they can afford the home cost, they should be able to afford the 1.5% annual tax on the current year valuation. The annual valuation cannot increase more than 2% a year. But someone who has owned a house for 30 years has been paying for the cost of government and infrastructure for 30 years whereas the new owner is just beginning to pay. So it all evens out in the end. If you can afford the property you can afford the tax and the taxes will grow slowly. If someone loses a home in California, it’s usually because of costs other than taxes. Such as poor loans, high fire insurance when building in a fire prone area etcetera.
Eliminate property taxes and sales tax will explode. How do you think local infrastructure is funded? City and county roads, water and sewer systems, police, fire, EMS, 911, court systems, libraries, etc, are all funded by property tax.
Good morning. Property taxes, homeowner's insurance, and HOA fees are all becoming more expensive. So, what is the solution other than working more hours? Seriously, is there any solution out there? Politicians?
6:31 a solution for property taxes is families who have children should pay the taxes since a majority of the taxes are for school bonds and operating costs. I don’t have any children, so I shouldn’t have to pay for someone else’s child to attend public school.
Except we live in what is called a society and we understand that there are things collectively we pay for for the betterment of all us. There are roads that federal dollars paid for that you'll never drive on, research to cures for diseases you'll never get, ect. The everyone for themselves mentality is exactly what big businesses and elites would love for you to have if we can't come together we can't oppose them. Finally as someone with no kids do you really want the next generation that will be in charge during your golden years be poorly educated?
The people with children would pay for there schooling,with your thinking you should bring in any homeless people to your house to live .@@aknorth1053
At least index to standard inflation rate. The current problem is that home values are moving up with government budgets and not resident's income. My property tax is $3,500 when it should be $2,000 based on BLS stats. It's not my fault that county can't manage its budget.
Thanks for the suggestion! We only recommend IRAs with either Fidelity, Schwab, or Vanguard. Otherwise, the high fees and commissions of other investment brokers will probably offset your bonus over time. We will dig a little deeper to see if a bonus changes our advice anywhere. 💚
i don't understand the point of view position that it is unfair situation that a new home owner with a recent new assessment will be paying a much higher property tax bill vs a home owner that has lived in their house a long time. In your example, It seems both parties have a starting position with a new assessment with guaranteed cap. The only difference is one neighbor has enjoyed the benefits of cumulative impact of a property tax cap year after year for a long period of time. Going back perhaps several decades. If the new home owner stays in his house a long long time they will enjoy the cumulative benefits of property tax cap as well. on their property.
Property taxes should be not tied so aggressively to the appreciation valuation of a home. They have become so punitive for simply owning your home. Add to that, why are school pensions funded on the backs of property taxes, is my question. I do not receive a defined pension plan and certainly not one guaranteed by the taxpayers.
@ Regardless, those funds come from yours and my tax revenue. Our states are nothing without our tax dollars. I’m not being rude but conversations need to happen about real estate taxes. We currently pay over $7,800/year in real estate taxes and it goes up almost every year, Albeit, it has slowed because our property value has plateaued, for now.
In my opinion it's a bad idea to charge the owners of property because what you do is let renters off of that responsibility and have the capability of taking our highest purchase in life away for pennies on the dollar! That's like not owning anything and penalizing property ownership with lifetime debt.
Why is keeping a home considered the only answer? I am sorry for the people who you say are being priced out of their homes on an emotional level. However, if their property rates have gone up so much, hasn’t their home value appreciated substantially as well? So hasn’t their equity risen a lot too? If they sell they should be ble to cash out that equity and move to a less expensive area IMO. Sounds harsh? Well, if they can’t afford an increase in property taxes they probably can’t afford to maintain the house or pay for insurance increases either. They can no longer afford the house. As for the taxes themselves, in the city of Houston some property taxes are capped when you reach 65. However in the suburb of Katy, they are not, because they don’t want the neighborhoods to age out. They WANT the old people to move away.
Other factors in CA, rents have gone up at a faster rate than housing. It costs a lot to move from CA to an affordable state across the country. We would have to find multiple new doctors to replace the ones we trust now. We would never see some relatives again. Renting means you don't know what your payment will be in succeeding years or whether the landlord will maintain the property properly. You can be evicted by a new owner who wants to rehab your place and raise the rent. Which is what happened to our 65 year old friend in the San Francisco area. He had to move over 100 miles away and rent senior housing.
I unretired. I was a State employee who went through 5 years of DROP and finished at 62, but health insurance is a scam, so after waiting out my year I returned to the same job until I’m eligible for Medicare.
A house shouldn't generate infinite income for the government. There is something inherently wrong with that especially when all the cost are on you to maintain the property.
Why does the US government care if people are collecting their social security that they personally payed into during their lifetime? Why can’t they collect what they are due and also continue to earn a higher wage? Why is there a limit?
@CLARKHOWARD. It sounds like MR. COOPER MORTGAGE. I had no issues with them and I paid the loan paid off shortly after assumption. Originally, I was with Bank of American which had zero, zero, zero, zero, stupid, and dumb customer service !
I have worked in real estate tax data for 8 years. Local governments and school districts rely on property taxes for their budgets. If property values do not go up the millage rates can be increased to reach their budgets. Sorry Clark you stick not having knowledge on how property taxes work
Here in Maine, particularly in small town Maine, property taxes are collected, spent and assessed by the local municipality. Property tax revenues pay for things like the local schools, municipal operations (town office, road maintenance, etc.). Only a small part (
Clark’s presentation on retirement provides valuable insights. I’ve been a CFO for over 30 years, and it’s a highly stressful job. Transitioning from such a demanding job to complete inactivity would require significant adjustment, one that I’m not yet ready to embrace. For the past few years, I’ve partnered with an interim and fractional CFO firm, allowing me to work at a pace that suits my lifestyle. I find fulfillment in having purpose and staying engaged, and I believe that, at age 73, I still have much to contribute to the success of a business. I encourage others to remain active and involved as long as they are physically and mentally capable, as this can lead to a rewarding and meaningful life. So there!
The way to do it with property taxes you should be required to pay for each kid that goes to school because 4 kids in a family use of far more resources than an older couple with no kids with property taxes
Tell me you've lived in a property for a long time without telling me you've lived in a property for a long time. Rewatch the part where Clark talks about this system doesn't work because some neighbors are paying 10-15 times more in property tax than others.
#BonusTip - Get the full #HomesteadExemption - A while back, my parents bought the vacant lot next to our home in S. Carolina. Years later, they learned that they should've "merged" the properties in the tax records. They did have the homestead exemption (lower taxes) on our home. But, they were paying a higher tax rate on the adjacent property, which was avoidable.
Property Tax: Instead of spending money on things like pride flags in the street, how about keeping property taxes for essential government functions only?
Good morning Clark Howard. Please tell your wife I said "Happy Birthday "😊😊😊 I am semi retired. Yes you are right I went from Full-time to part-time. I am so happy I did that instead of just stopping. I also belong to a couple of Senior Citizen Centers. Their breakfast was less than $2 including a cup of coffee. I think lunch is around $5 maybe a little more. You can take a variety of classes. I work three days or less a week. I am so happy to longer have the stress that was on me. I love the freedom of relaxing more, watching podcasts such as yours. 😊😊 I kept my eye and dental insurance thru my employer even though I have it through Medicare. I was so glad I signed up for Medicare three months before I turned 65 yrs. old. I didn't know in order to keep my health insurance thru my employer I had to maintain 30 hrs a week. I didn't know I was no longer eligible for health insurance thru my employer until it was time to renew. I just want to let anyone know if you retire before you can get Medicare, make sure you work enough hrs. to keep your health insurance unless you get it separate.
I'm in the real estate industry. I always tell people that if they get a letter stating that their loan was transferred to call their previous lender to verify that it was actually transfered.
Wishing Elaine a most wonderful birthday. While I realize there is no simple solution for the property tax problem, I would like to make it so that there is a 0% rate for the first million dollar value in the property. After that, the tax will shoot to 100%. Again, hoping that Elaine has a great birthday.
Yes, we should work to end property taxes on primary residence’s, including for renters who pay vicariously in their rent pricing. Businesses however can still pay property taxes. It gets passed on in their costs so indirectly via consumption most people are still helping to pay for the public services and more specifically the people that use the areas of consumption. So, tourism and lifestyle or recreational businesses could pay more property and sales taxes than say, a grocery store or a utility company. A homeowner’s pool supply store may cost more than a plumber or air conditioner supply store, prioritizing basics over electives. No one is directly taxed out of their home but maybe they no longer keep a pool when their budget doesn’t warrant it. Or travel for leisure because it costs more. The bigger issue however is gov debt that serves to drive up inflation. Without decades of inflation via debt and money printing we’d all possibly have a small and modest home we could own outright in 5-10 yrs max including the disabled and elderly. Money saved would actually hold some value so when it was needed it would have some usefulness. I think there are some families that may still be together as divorce would look less like a solution to financial problems if inflation was not in effect. It destabilizes much of society in an adversarial way. Same wit the drug cartels. If we are going to spend any gov taxes it should be to shut down the sex and drug trafficking that is horrific and erodes our country strength and capability to be more.
When I was a kid, my stay at home mom used to say board people were dumb because they're always something to clean or do in a house. Now that I have my own house, I totally understand...lol.
Disagree on the property tax issue with respect to fixed taxes. My city property tax is based on the value when the home is purchased and does not change. Yes, home prices have nearly doubled in my area in the last 10 years so those "new" buyers pay considerably more, but they are just coming into the community and those taxes should be budgeted into their purchase and ownership costs. For me, I've been paying into the community for a long time so I like that my taxes are based on my original purchase price. If I move, I expect to pay more. That's the cost of moving.
@CLARKHOWARD property taxes are the easiest way for governments to increase revenue. Usually, a PROPERTY TAX increase does not go out for a vote of the people, but only a few POLITICIANS VOTE ALONE for the increase. This increases affects both renters and homeowners
Homestead exemption of up to $200k per person, $500k per married couple plus additional $50 per child, indexed to inflation. Encourage home ownership. Encourage families.
California proposition 13 saved my parents big time so that they could stay in their home. At least on prop 13 it can only go up max 2% a year. It wasn't a perfect solution but way better than other states that have no limitations on yearly increases!
Property taxes are ridiculous. I've had past experience when I purchased land in a mobile home subdivision and set my mobile home there. The mobile home was taxed as a stick built house for multiple years. Finally, the county corrected this and publicly admitted the "mistake". I publicly confronted the county asking if our money would be refunded. The response? " We can't do that, the money has already been spent!"
Currently, I've lived in a county and bought/lived in stick build homes for nearly 30 years. My homes were each over 100 years old when purchased and well within my low income/frugal life and I paid off one before buying the next. Property taxes have gotten so out of line not only due to the new construction but also the amount schools are allotted (I've never had a child in this town/county). I keep my home tidy and yard meticulous yet it will never compare to the new $150k home next-door and taxing it as such is ridiculous!
If you do not have school children you can tell them that you don't want to pay school taxes. I'm not certain where you live but that's true in Georgia
@melaniestarkey7868 thank you but that's not available in my state.
@@melaniestarkey7868 💯 If you meet the age eligibility.
Don't work for money; make money work for you. Invest wisely today to create the freedom you desire tomorrow.🇺🇲🇺🇲
Many new tra-ders face challenges without proper guidance. I found success by learning from James Clark's expertise.
@@RobsonSilva-cs2heexactly that's why I always seek Mr J Clark's guidance in all I do 😊
exactly that's why I always seek Mr J Clark's guidance in all I do 😊
I recently sold half my tech stock holdings due to all-time highs, leaving me with $400k. Should I invest in ETFs now or wait for a market correction considering potential inflation?
Celebrating a $30k stock portfolio today from a $6k start. Investing wisely has given me time for family and future plans.
The problem w property Tax. The Govt. spending always outpaces the incomes of the homeowners. Especially when you consider that every single person will be too old to work one day.
they should cap property taxes for anyone who is 65 or older so they don't get priced out of their homes as they retire and are on a fixed income. When they die then the tax equals out.
I look at my property taxes have gone up 320% since I bought my house. It was reduced a bit since I became disabled and once I hit full retirement age the school population comes off the property taxes bill.
must live in California!
@ nope Georgia actually
Clark, the issue with property taxes isn't only the increases in home values. In many counties, the commissioners are spending money like drunken sailors buying/building huge office buildings, adding employees (adding worthless director positions of this and that) and other senseless spending. The same trend is often happening in the school budgets which the property tax also pays for.
The voters of any area that are facing these increases need to look at the trajectory of spending in their county and vote accordingly.
So right, governments have become more glutinous, they buy commercial vacant buildings for increasingly growing employees and in doing that, the commercial buildings becomes a burden to the taxpayers and is no longer collecting tax on that commercial buildings. I live in a town that the mall which was failing, the government bought and it had deferred maintenance
In some areas, seniors who are low income can apply for reduced property taxes however they make the process so complicated and overwhelming with all the required docs and general paperwork, that many seniors just give up and eventually have to move as they are taxed out of their homes. The politicians do not care.
On purpose!
Also even as some people get relief because of this ,others' taxes just go up that much more in order to accommodate the program including long term residents of over 70 years age (paying the exorbitant taxes and increases)
makes no real difference whether the taxes are manipulated by increasing the assessments yearly to the max or raising the tax rate per unit assessed value
@@lisaelliott3864 of course, shameful
@@davidpowell3347 the shameful part of this at least in our state, is even with ridiculously high property taxes, gas tax, license tab taxes and all the other taxes, there is a huge deficit and the legislators are preparing to raise the taxes even more to address their out of control spending
The rest of the Country needs to adapt something like California’s Prop 13.
It is still not enough with the way real estate goes up in this state. Our property taxes have doubled at least since we bought our house 22 years ago. We live in the California Central Valley. In other more urban counties the taxes are even higher. My brother's house in the City of Orange has about doubled in value in 10 years. His property taxes were north of $10,000 in 2016! I can't imagine how high his taxes are now!
And retroactive !
My parents were able to take advantage of Proposition 13 in Southern California and their property taxes was capped at $2k/yr. They were even able to transfer that rate once to a different property one time only. Later he put the property in a trust and when he died 2 years ago the house stays in the trust and us kids can keep it until it is decided to sell if we ever sell it. $1.5M home in Southern California with $2k/yr property tax. Brilliant. That is how you create generational wealth.
On the other hand I line in Pennsylvania in the same home for 35 years and my property taxes has tripled from $5k/yr to over $15k/yr currently.
I agree if over 65yo and lived in your home over 25 years you should pay no property tax.
My future will be I will have to sell and move due to increasing property tax.
Small fyi, the gift tax exclusion for 2025 rises to $19,000 per person vs the $18,000 noted in your answer to the vehicle gifting question you fielded.
Although there may be a connection, property taxes are not directly affected by home values. First, changes in property assessments often lag far behind changes in value. Second, when all property is assessed, including commercial property, the amount needed to run the town or other entity is divided proportionally between the assessed properties, sometimes with a greater percentage charged to commercial.
If the cost of running the jurisdiction stays the same, the individual dollar amount assessments will usually stay the same, even if the tax base increases drastically. If the cost of running the town increases 5%, each assessment will be increased by 5%. What a homeowner pays is not directly related to changes in home value.
However, a truly equitable solution would be to eliminate these taxes on homeowners and instead implement a truly progressive national, state, and local income tax that makes a smaller impact on those people and corporations who have little and a fair, larger impact on those who have more. There should be a personal exemption for each individual living in a household and a household exemption, but no itemization that tends to distort the economy.
Happy Birthday 🎂
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Property taxes in IL are so onerous that collection rates in some less affluent suburbs in Cook county are around 50%! Needless to say the higher taxes go the less the property value becomes. A doom loop tax cycle that has been occuring for years. Politicians are seemingly unable to see (or react to) this.
Texas recently increased the homestead exemption from $40k to $100k ($110K for seniors) that took a big bite out of my property tax bill. It is now $2k less than when I bought my house 20 years ago. This would only protect a primary residence but that's okay by me.
When we lived in Texas, it was the school tax that killed us. 3 times higher than our property tax.
I retired and moved to Texas from CA in 2005. Everything in Texas was cheaper. At that time everyone was up in arms because gas was about to hit $2. No one in CA could believe that gas in TX was so cheap. I sold my house in LA for 20 times what I paid for it and bought a house twice as big with just the equity. Property tax percentages were higher but the valuations were very low. Utilities and insurance were far less. The big thing was that not paying CA Income tax of 9.3% saved me more than my my TX property tax bill and still does. If I was still in CA I would be paying in income tax $10k more than my TX property tax. I know, I do the math each year because it makes me smile.
I hope Darren's son from Missouri listened to this podcast and take's a lesson from David from GA.... Divorce is the single greatest way to vaporize your financial future.
At least for seniors and those with debilitated disabilities should have real estate taxes eliminated or at least cut in half. My mother real estate taxes on a 950 sq foot town house are over $7000 on a fixers income of less than $36000. And it’s too expensive to move now as well on this market.
Many localities have programs for seniors ti make property taxes lower than would be for non-seniors. Example, Dutchess County, NY, there’s “STARS” program.
Level term life insurance with a set premium for the 10-20 year term works fine until you realize what the new premium will be for the next 10-20 year term. Most people find that they can no longer afford to keep the term life insurance in force beyond the initial term. Term life insurance is affordable until you get older and then, not so much.
Unfortunately, good point. Maybe the rule of thumb should be to always buy a 30-year term to maximize the lower cost before needing to buy another one. 💚
On a 10 or 20 year term, do a "re-entry" every 5 years or so. As long as you are still in good health, that extends your insurance out for another 5 years at minimal cost.
I went from full time teaching for almost four decades to being an adjunct. I teach four hours a week and love it. No stress, a bit of money, and time with former friends and colleagues. I don't have to work since I get a pension, but I have the perfect work-life balance.
The overall mill rate should be lower as the assessed values are increased on homes, given that a municipality is keeping their spending in check and not increasing it. The property tax $ amount should stay basically the same. If property taxes are increased, that means the municipality is spending more money on there services. Dean
I retired about 1 1/2 years prior to my goal of at least fra. Factory assembly for nearly 30 years was more than I should have done. I thought I'd work part-time but I'm done. I'm far from rich but luckily I'm frugal...Medicare is my largest expense (more $ than my frugally affordable mortgage which amazes people) but I'll not go back to work. Im physically/mentally done with it and I'll not be forced to work until the day I die.
In rural America, property taxes make up a fraction of what it cost to provide services. Example: a new police car can run $50,000, a fire truck $250,000. Officers in my area make $40 an hour but can retire after 20 years on the job with benefits paid by the taxpayer. Someone has to pay for this. We have been lucky over the years receiving federal grants for our water and sewer system, schools, roads, bridges (recent $5 million bridge replacement) and other infrastructure, but there will be a day when the Feds say no. Our school gym was just rebuilt at a cost of $10 million (estimate). The town has only 1,000 people so you can do the math.
Your grant writers are pure gold for your community. This is amazing.
Stealing homes of the elderly is CRIMINAL. Granted, many WEALTHY seniors have owned their homes 50 years or more. I think a W2 could be presented to show income, a bank statement 1099, maybe other things could be used to prove tax elimination or reduction for the eligible senior or seniors. I think a socialist style tax surcharge could be added to tax bills of other homeowners. I personally would be willing to pay a little more so the elderly aren't forced out of their homes. I do have a few concerns....many seniors are not only unable to pay their taxes, they can't afford to maintain the home and yard. It can also be unsafe for them, especially if one spouse has died. It may be good for some seniors to SELL their homes and get an apartment. There are senior apartments with low rent based on income. If you can't pay property taxes, you probably can't afford to keep the home in good repair, and as it falls into disrepair the damage can grow to where the home is unsafe and has little value. I see it in neighborhoods built in the 1950's and 1960's...there is usually an old car in the driveway covered in tree sap, roofs with moss, dirt yards because the tree roots and shade keep grass from growing, weeds around the house, possible roots damaging driveways, foundations, and warer and septic systems...the insides can be dark, dreary places full of books, papers, memorabilia. I have seen foundation issues causing floors to mess up, roof leaks from damage or age, appliances and plumbing issues, broken HVAC systems. Many kids are far away and they don't visit often. The elderly did buy the home, paid it off, and maintained it as long as possible. It's sad to see the home fall apart around them...while they TOO may be "falling apart".
A lot of Folks don’t even live till 70 years old to delay SSI, my father & father in-law both passed at 67 years old, they both were able to collect a few years by claiming early, my sister RIP was gone at 60, it just doesn’t make any sense for most people to delay SSI especially past FRA! (In my humble opinion)
You're right! Even if you don't need it, take it early & bank it! Don't forget, in those first
years, it's your own money that you are just getting back!
Happy Birthday to Lane! 🎂
The fairest solution to high property taxes is to reduce the millage rate. Just because property values skyrocket does not mean spending at the county level has to skyrocket in tandem.
Second best would be to let current residents defer property taxes increases until they move or die. Pay a capped value now and the rest later. The deferred taxes would be adjusted for inflation but not interest and would be due when the house is sold.
As someone living in a paid off house I bought for a third its current value 18 years ago my paying far less in property taxes than new residents who can barely afford their mortgage would be grossly unfair. While nobody want to see people forced out of their home by tax increases not every retired boomer is broke and struggling, its no wonder a lot of younger people see those in generation as greedy. Buying a house is a lot harder now than when I bought my first home, we shouldn't be making it harder.
Time for public schools need to be funded at the state level without using property taxes!
Happy birthday Elaine 🎉
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Happy Birthday, Elaine 🎈
People over 70 should not have to pay property tax on a primary home if they have lived in their homes for 20+ years.
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I'm 78 & haven't had a kid in school in 25 years, haven't moved in 42 years,
so shouldn't they at least "freeze" my school taxes?
Colorado has a "homestead" option where if you have been in a home for 10 years and 65 or you qualify for 50% off the taxes. I dont object to school taxes because if you keep a kid in school, they are more job options available to them.
@@rongendron8705 I live in Texas. When I hit 65, they did freeze my taxes. My city and county added discounts too. Where do you live.
@@barbaramartinez9290 Interesting. I live in Texas. Recently, they increased the homestead exemption from $0k to $100k, $110K for seniors. I took a big bite out of my property tax... no 10 year requirement.
It's what's not taxed that could make a difference. Stock share purchases are untaxed property. Stock sales are taxed at far too low a rate (look at stock buybacks and who does them). Offshore investments by utility companies are untaxed. FICA limits could be raised. Even a tiny amount could raise a lot of money.
It doesn't matter. Governments will just increase their spending.
$20 says the mortgage company with the silly name is Mr. Cooper. We had issues with them when they were Nationstar. They improved after transitioning to Mr. Cooper and were fine.
We had a mortgage from BB&T once. We were paying an extra amount towards the principle. When we rewrote the loan, the principle balance didn't agree with what we had (we kept the record). We always noted the extra amount was to go towards principle on the ticket and also on the check. Found out they were putting towards the interest for the following month. I made an Excel spreadsheet and brought it to the bank. The branch manager didn't know how to figure out the amount towards the principle that they owed us. We have to go all the way up to the one of VP to get it resolved.
We're not thinking about root causes. Property taxes pay for roads and schools primarily. Why should a family be charged higher taxes based on the price of their home, which has little to nothing to do with how much you use roads, or how many kids you have in school? First, we need budgets that must be transparent to taxpayers, and then we need to fairly spread those costs across ALL residents who benefit from the services provided from property taxes. Perhaps change it from property to use taxes. That way, we all contribute (even renters who use roads and schools) and we hold entities accountable for the expenditures they make for these services and vote on increases so they don't have a blank check like they do now. Why do we just accept that taxes go up because housing prices go up?
Property tax is the least regressive tax we have. Of course u don’t get rid of it. If you have local government that u believes over spends elect new representatives, or see if your money is being used in ways you’re not aware of that would make you feel better. Also, being old is not synonymous with being broke. The older people in the US actually are better off than the younger ones on average
hahaha, for a second I though "national holiday? did I miss something?"
Are the property (home) tax increases proportional to the increases in County Board or County Board of Supervisors' pay ? !!
"tax to the max" scheme where a new "fee" for "water pollution abatement" was created and added to the already high and increasing property taxes bill although property taxes already supported the wastewater treatment plant and infrastructure
Happy birthday 🎉
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@25:30
News Flash - you are "upside down" on any car purchase that you finance the second you drive it off the lot.
I really wish you would name these corporations in all cases. Is the mortgage company being referenced "Mr. Cooper"?
The way the California property tax system was explained to me is the higher taxes go to the new buyer because if they can afford the home cost, they should be able to afford the 1.5% annual tax on the current year valuation. The annual valuation cannot increase more than 2% a year. But someone who has owned a house for 30 years has been paying for the cost of government and infrastructure for 30 years whereas the new owner is just beginning to pay. So it all evens out in the end. If you can afford the property you can afford the tax and the taxes will grow slowly. If someone loses a home in California, it’s usually because of costs other than taxes. Such as poor loans, high fire insurance when building in a fire prone area etcetera.
California property taxes pay in part for schools and for the county services. What is the alternative to doing it this way. Local income taxes?
Great show 😊
Eliminate property taxes and sales tax will explode. How do you think local infrastructure is funded? City and county roads, water and sewer systems, police, fire, EMS, 911, court systems, libraries, etc, are all funded by property tax.
Good morning. Property taxes, homeowner's insurance, and HOA fees are all becoming more expensive. So, what is the solution other than working more hours? Seriously, is there any solution out there? Politicians?
6:31 a solution for property taxes is families who have children should pay the taxes since a majority of the taxes are for school bonds and operating costs. I don’t have any children, so I shouldn’t have to pay for someone else’s child to attend public school.
Except we live in what is called a society and we understand that there are things collectively we pay for for the betterment of all us. There are roads that federal dollars paid for that you'll never drive on, research to cures for diseases you'll never get, ect. The everyone for themselves mentality is exactly what big businesses and elites would love for you to have if we can't come together we can't oppose them. Finally as someone with no kids do you really want the next generation that will be in charge during your golden years be poorly educated?
The people with children would pay for there schooling,with your thinking you should bring in any homeless people to your house to live .@@aknorth1053
With all due respect, please broaden your horizons; think beyond your own little bubble.
@@virginiamoss7045 communist?
@@aknorth1053 💯 Well said!
At least index to standard inflation rate. The current problem is that home values are moving up with government budgets and not resident's income.
My property tax is $3,500 when it should be $2,000 based on BLS stats. It's not my fault that county can't manage its budget.
7 % used to be a great price in the 80's mine was 12 1/2%
please, review IRA bonus rollovers
Thanks for the suggestion! We only recommend IRAs with either Fidelity, Schwab, or Vanguard. Otherwise, the high fees and commissions of other investment brokers will probably offset your bonus over time. We will dig a little deeper to see if a bonus changes our advice anywhere. 💚
it's TIF programs? & economic development programs
i don't understand the point of view position that it is unfair situation that a new home owner with a recent new assessment will be paying a much higher property tax bill vs a home owner that has lived in their house a long time. In your example, It seems both parties have a starting position with a new assessment with guaranteed cap. The only difference is one neighbor has enjoyed the benefits of cumulative impact of a property tax cap year after year for a long period of time. Going back perhaps several decades. If the new home owner stays in his house a long long time they will enjoy the cumulative benefits of property tax cap as well. on their property.
Property taxes should be not tied so aggressively to the appreciation valuation of a home. They have become so punitive for simply owning your home. Add to that, why are school pensions funded on the backs of property taxes, is my question. I do not receive a defined pension plan and certainly not one guaranteed by the taxpayers.
I don't believe that school workers,i.e. teachers, administrators, etc. get their pensions
from school taxes, but rather the state pension fund!
@
Regardless, those funds come from yours and my tax revenue. Our states are nothing without our tax dollars. I’m not being rude but conversations need to happen about real estate taxes. We currently pay over $7,800/year in real estate taxes and it goes up almost every year, Albeit, it has slowed because our property value has plateaued, for now.
In my opinion it's a bad idea to charge the owners of property because what you do is let renters off of that responsibility and have the capability of taking our highest purchase in life away for pennies on the dollar! That's like not owning anything and penalizing property ownership with lifetime debt.
Thanks Clark & Team! NNTR
Property Taxes cause segregation. They are the most unfair taxes, right behind sales taxes on food. I’ve been thinking that for years.
This is why CA passed prop 13 back the 1970s
Use rate of inflation for people in their homes. New homeowners should pay the higher rate.
Why is keeping a home considered the only answer? I am sorry for the people who you say are being priced out of their homes on an emotional level. However, if their property rates have gone up so much, hasn’t their home value appreciated substantially as well? So hasn’t their equity risen a lot too? If they sell they should be ble to cash out that equity and move to a less expensive area IMO. Sounds harsh? Well, if they can’t afford an increase in property taxes they probably can’t afford to maintain the house or pay for insurance increases either. They can no longer afford the house. As for the taxes themselves, in the city of Houston some property taxes are capped when you reach 65. However in the suburb of Katy, they are not, because they don’t want the neighborhoods to age out. They WANT the old people to move away.
all good points but did someone say Katy (Texas) and therefore... Buc-ee's? :) :)
Other factors in CA, rents have gone up at a faster rate than housing. It costs a lot to move from CA to an affordable state across the country. We would have to find multiple new doctors to replace the ones we trust now. We would never see some relatives again. Renting means you don't know what your payment will be in succeeding years or whether the landlord will maintain the property properly. You can be evicted by a new owner who wants to rehab your place and raise the rent. Which is what happened to our 65 year old friend in the San Francisco area. He had to move over 100 miles away and rent senior housing.
I unretired. I was a State employee who went through 5 years of DROP and finished at 62, but health insurance is a scam, so after waiting out my year I returned to the same job until I’m eligible for Medicare.
going back to work from retirement: HA Clark, you ve never tried freelancing, have you? you GET USED TO NOT HAVING A JOB for awhile
Good luck with that
A house shouldn't generate infinite income for the government. There is something inherently wrong with that especially when all the cost are on you to maintain the property.
States have to get money from somewhere. If they don't collect it from property taxes, they'll raise sales taxes (or income taxes) to make up for it.
Gov is way too big. The taxes need to be lowered & the gov must shrink
@@Kevin-fn1rn So much waste at all levels of government.
Do that, because every worker pays state income taxes, but only homeowners
pay property taxes, so the charges would be dispersed, more equally!
Why does the US government care if people are collecting their social security that they personally payed into during their lifetime? Why can’t they collect what they are due and also continue to earn a higher wage? Why is there a limit?
@CLARKHOWARD. It sounds like MR. COOPER MORTGAGE. I had no issues with them and I paid the loan paid off shortly after assumption. Originally, I was with Bank of American which had zero, zero, zero, zero, stupid, and dumb customer service !
I have worked in real estate tax data for 8 years. Local governments and school districts rely on property taxes for their budgets. If property values do not go up the millage rates can be increased to reach their budgets. Sorry Clark you stick not having knowledge on how property taxes work
Taxes should never be above 10% of your gross income.
I've said the same, for years! It used to be called "TITHING"! The Govt. should
go to a "Flat Tax" of 10%, of all income & automatically taken out!
Here in Maine, particularly in small town Maine, property taxes are collected, spent and assessed by the local municipality. Property tax revenues pay for things like the local schools, municipal operations (town office, road maintenance, etc.). Only a small part (
I think homesteads and farms shouldn’t have property tax but commercial properties should pay.
Lucky you. Married to a Sag. (Sagittarius) I am too. Hope your wife has a great birthday.
💚 Happy birthday to you, as well!
@@Clark It's actually hubby's birthday on Thursday. Thanks!❤
Clark’s presentation on retirement provides valuable insights. I’ve been a CFO for over 30 years, and it’s a highly stressful job. Transitioning from such a demanding job to complete inactivity would require significant adjustment, one that I’m not yet ready to embrace. For the past few years, I’ve partnered with an interim and fractional CFO firm, allowing me to work at a pace that suits my lifestyle. I find fulfillment in having purpose and staying engaged, and I believe that, at age 73, I still have much to contribute to the success of a business. I encourage others to remain active and involved as long as they are physically and mentally capable, as this can lead to a rewarding and meaningful life. So there!
Kudos! The younger generation needs your wisdom; impart it generously.
"What to do if you’re upside down on a car loan"
Learn from your mistake and don't ever take out a car loan again. Pay cash or don't buy it.
Just tie the property tax % increase to the social security % cola increase that is announced each fall.
Fix that in each of the 3,143 US counties?
So, just like medicare costs, it goes up every year and seniors will NEVER be able to get ahead?
@@daninraleigh Yes they won't get ahead but they won't get behind.
The way to do it with property taxes you should be required to pay for each kid that goes to school because
4 kids in a family use of far more resources than an older couple with no kids with property taxes
Property tax should be based on what you bought the property for.
Tell me you've lived in a property for a long time without telling me you've lived in a property for a long time. Rewatch the part where Clark talks about this system doesn't work because some neighbors are paying 10-15 times more in property tax than others.
No. It’s time to allow those property taxes to be deductible off your federal taxes.
They are, up to $10,000, if you itemize! But, where I live on L.I. NY, they could be 20k!
Why doesn’t the “former realtor” call her mortgage company to confirm the new payee?
It would be nice to really “OWN” Property, rather than still have to pay RENT (Prop Taxes).
For property tax my county has a Homestead Credit. Which is capped at a 2% increase per year. It seems to work.
Good work ( if you love what you do) is good for the Soul, I always stay active, preferably making money!
Property taxes are such a rip off..get rid of it
Clark, It is time to retire the black shirt that is two sizes oversize. Salvation Army or Goodwill will recycle them for you.
It's time to end property tax because I stopped consuming the fruit of the taxes (school) and need a boomer shield
If you are so privileged to live to 70.
I'd be okay if property taxes ended when the mortgage was paid off. I'd prefer NOT to have them in the first place, but that ain't gonna happen.
#BonusTip - Get the full #HomesteadExemption - A while back, my parents bought the vacant lot next to our home in S. Carolina. Years later, they learned that they should've "merged" the properties in the tax records. They did have the homestead exemption (lower taxes) on our home. But, they were paying a higher tax rate on the adjacent property, which was avoidable.
Great tip, Clarkie! 💚 #bonustip
Property Tax: Instead of spending money on things like pride flags in the street, how about keeping property taxes for essential government functions only?
Good morning Clark Howard. Please tell your wife I said "Happy Birthday "😊😊😊
I am semi retired. Yes you are right I went from Full-time to part-time. I am so happy I did that instead of just stopping. I also belong to a couple of Senior Citizen Centers. Their breakfast was less than $2 including a cup of coffee. I think lunch is around $5 maybe a little more. You can take a variety of classes. I work three days or less a week. I am so happy to longer have the stress that was on me. I love the freedom of relaxing more, watching podcasts such as yours. 😊😊 I kept my eye and dental insurance thru my employer even though I have it through Medicare. I was so glad I signed up for Medicare three months before I turned 65 yrs. old. I didn't know in order to keep my health insurance thru my employer I had to maintain 30 hrs a week. I didn't know I was no longer eligible for health insurance thru my employer until it was time to renew. I just want to let anyone know if you retire before you can get Medicare, make sure you work enough hrs. to keep your health insurance unless you get it separate.
I'm in the real estate industry. I always tell people that if they get a letter stating that their loan was transferred to call their previous lender to verify that it was actually transfered.
Clark, now do we compare the amortization schedule if I’ve prepaid some principal?
Wishing Elaine a most wonderful birthday. While I realize there is no simple solution for the property tax problem, I would like to make it so that there is a 0% rate for the first million dollar value in the property. After that, the tax will shoot to 100%. Again, hoping that Elaine has a great birthday.
Yes, we should work to end property taxes on primary residence’s, including for renters who pay vicariously in their rent pricing. Businesses however can still pay property taxes. It gets passed on in their costs so indirectly via consumption most people are still helping to pay for the public services and more specifically the people that use the areas of consumption. So, tourism and lifestyle or recreational businesses could pay more property and sales taxes than say, a grocery store or a utility company. A homeowner’s pool supply store may cost more than a plumber or air conditioner supply store, prioritizing basics over electives. No one is directly taxed out of their home but maybe they no longer keep a pool when their budget doesn’t warrant it. Or travel for leisure because it costs more.
The bigger issue however is gov debt that serves to drive up inflation. Without decades of inflation via debt and money printing we’d all possibly have a small and modest home we could own outright in 5-10 yrs max including the disabled and elderly. Money saved would actually hold some value so when it was needed it would have some usefulness. I think there are some
families that may still be together as divorce would look less like a solution to financial problems if inflation was not in effect. It destabilizes much of society in an adversarial way. Same wit the drug cartels. If we are going to spend any gov taxes it should be to shut down the sex and drug trafficking that is horrific and erodes our country strength and capability to be more.
When I was a kid, my stay at home mom used to say board people were dumb because they're always something to clean or do in a house. Now that I have my own house, I totally understand...lol.
Disagree on the property tax issue with respect to fixed taxes. My city property tax is based on the value when the home is purchased and does not change. Yes, home prices have nearly doubled in my area in the last 10 years so those "new" buyers pay considerably more, but they are just coming into the community and those taxes should be budgeted into their purchase and ownership costs. For me, I've been paying into the community for a long time so I like that my taxes are based on my original purchase price. If I move, I expect to pay more. That's the cost of moving.
Maybe because you rent from the cheapest rental companies available?
The dont buy anything retirement.
@CLARKHOWARD property taxes are the easiest way for governments to increase revenue. Usually, a PROPERTY TAX increase does not go out for a vote of the people, but only a few POLITICIANS VOTE ALONE for the increase. This increases affects both renters and homeowners
Reduce schools and local governments more than 50% using technology
Defund public education?
Homestead exemption of up to $200k per person, $500k per married couple plus additional $50 per child, indexed to inflation. Encourage home ownership. Encourage families.
Yes it is.