Jeff’s Carlsbad Blog for First Time Home Buyers


Carlsbad Buyers Ask – What is Proposition 13?

Posted in Financial,House Hunting,Taxes by Jeff Dowler on August 27, 2007

Folks buying property in Carlsbad and other California communities need to know about Proposition 13 as it impacts property taxes. Each state seems to have different regulations about property taxes, how they are calculated, what they are used for, when they are paid, and so on.

Here in Carlsbad and other California communities, Propositon 13 regulates the property tax amount and caps it at 1% of the assessed value of your home, and real property (such as a home) can only be reassessed

(1) with a change in ownership (there are some exceptions)

(2) with new construction (e.g., room addition).

This means that the property assessment cannot go up by more than 2% in any given year, based on the California Consumer Price Index.

The property taxes, therefore, are 1% of the assessed value PLUS any special fees, bonds, etc. (such as Mello Roos). A very rough calculation of the tax, thus, when you buy is 1% of the purchase price (but at the low end). Check with the town in which you are buying to find out the actual tax rate – for Carlsbad homes for the current tax year it ranges from 1.01714% to 1.04842% plus any special fees.

More information can be found on the Assessor’s website.

READ MORE on homeowner property taxes in Carlsbad here.

****************************

Start your CARLSBAD HOME SEARCH here (and other San Diego communities as well).

Request Free BUYER and SELLER REPORTS here.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: