Income Tax versus Property Tax

[hglenbetts]

Thewb,

Thanks for the post, But, if you really have a problem about your taxes, why are you allowing the federal government to hold your money, interest free, throughout the year, then collect back the left over at their convenience???

Set up a plan to pay your taxes quarterly, based on what you owe, vs what they think they want from you, invest the rest.

If you're paying property tax in Michigan, you know there is a two tiered system, Homestead/Non-homestead. Also, capped taxable value vs SEV. Living in Oakland County, I received about 30 requests this year for appraisals and CMA's (I'm a R.E. Broker too) from people wanting to appeal their property tax values. I ended up doing about 4, because most people's SEV's were "close" to the 50% of market value, and even if they could successfully get a few thousand $$ knocked of the SEV, it did not effect their taxable value one bit. Remember, the taxable value will not decrease until it is equal to the SEV. The people most apt to benefit from an appeal are the ones that have purchased the past 2-4 years.

Your points are good tough, everyone needs to know what they are paying and why. Next Spring, place an ad for a free seminar to educate home owners on the facts of property taxes. (Just make sure you know the facts first:blush Then offer a FEE appraisal to those who have a possible case. Provide a service/make some money.

BTW, did you know about the new laws on Michigan's books?
1. If a homeowner has purchased a new principle residence (in Michigan) and can't sell there old home, under certain circumstances, they can now have two homesteads.

2. Under certain conditions, at the sale of a property, the transfer tax will be waved, if the market value (based on SEV) at time of sale is less then the SEV value at the time of purchase. Lots of conditions here. (not really new, just resurrected from the obscure) Check with your local Title Company for details.

Thanks for the post and link.

 

[hglenbetts]

When do Milford assessment notices get mailed out?

If I remember correctly it was Feb 1, +/-. Not certain though.

 

[Terrel L. Shields]

Why are we entrusting our local taxing authority to tell us our homes value?
According to the Tax Foundation over 60% of homes in America are over assessed.

I dont' know if they are over-assessed but they certainly are mis-assessed. It is the only tax where a 'guess' is allowed to set a tax. A sales tax on home sales and mortgages would and could replace the property tax and eliminate a whole bunch of jobs - appraisers jobs at that.
An additional problem is that too many districts lack the money to reassess so they use a shortcut of adjusting by some "factor" they create. However, this factor is not necessarily equally applicable and it only skews the deficiencies worse making underappraised homes cheaper and overappraised even more expensive. It needs abolished. Phase it out and apply a sales tax on all sales and mortgages.