How do property taxes work?

**gobransonhomes** · 09-23-2009, 01:52 AM

I have the basic idea (unless Florida is different from MA) - to calculate the property taxes, you take the assed value and multiply it by the millage rate.

Then there are deductions which may apply (eg Homestead if your nproperty is your main home)

What I don't get is that some properties seem to buck the trend

352 HARVARD ST #1A has a property tax of $396 according to MLS - is that being held down because the existing owner has lived there for years etc, and will it leap up for a new owner??

**freepost** · 10-15-2009, 02:32 PM

Property Taxes are what most homeowners in the United States pay for the privilege of owning a piece of real estate, on average 1.5 percent of the property's current market value.
These annual local assessments by county or local authorities help pay for public services and are calculated using a variety of formulas.

**sagareid** · 10-23-2009, 11:46 PM

Jurisdictions in all 50 states and the District of Columbia impose property taxes, which provide local and some state jurisdictions with a stable and reliable source of revenue. Most property tax revenue comes from levies on real property (land and improvements to land) but states often tax personal property (such as noncommercial motor vehicles) as well. The tax equals a percentage (the tax rate) of the assessed value of the property and may be levied in some form at every level of government

**Nick Brian** · 10-24-2009, 01:07 AM

Thanks everyone and thanks for sharing. I am curious to know the reason behind tax difference in different states. Why don't we have flat tax rate or same tax rate nationwide?

**snvtanmay** · 01-27-2010, 10:00 AM

Property taxes are what most homeowners in the United States pay for the privilege of owning a piece of real estate, on average 1.5 percent of the property's current market value. These annual local assessments by county or local authorities help pay for public services and are calculated using a variety of formulas.