[dagnabit9]

I appreciate the concern Sparrow_temp and, yes, I have a good reason for coming back. I had always said that if I could make in Michigan what I am making out here in New Mexico, that I would leave in a heartbeat. I do not have anything to do with the auto industry in any way (I'm a metrologist). So...I am leaving. A lot of people like it out here (my wife, for one), but it is not for me. I've put up with the oppressive heat, wind, dirt, and dryness (and government) that I could stand since 1985 (the USAF sent me out here) and I had to put my foot down and say, "Enough is enough"! I, too, put up lists of advantages and disadvantages and they look quite a bit different to me than yours. My family is back in Michigan; most of my friends are there; my father is buried out there - the weather, at least as far as <<I>> am concerned is much better (especially the summers). I can put up with the snow and cold - in fact, I prefer it. So for all you nay-sayers that are warning me about the gloom and doom of Michigan, I say I hope you left or are leaving because I don't want anyone within earshot talking bad about the most beautiful state in the US!

[Toymeister]

Michigan exempts State pensions from taxation. They were sued in the 1990's for taxing Federal pensions and after a bitter battle they lost. I am not sure how this impacts Military pensions. In the examination of any state's taxation system you must consider all forms of taxation. For a "normal" family Mich is in the middle of the 50 states, for you it can vary greatly, however it will not be the lowest. Property taxes are on the high side, income tax is in the middle various junk taxes are low (but Lansing is working to change this), sales taxes are mid-low range.

Having said that purely from a taxation perspective there are better places for a retired military man to retire to. There are many things to consider when l;ooking at the quality of living, why center on taxes?

[skyl4rk]

I hear you dag, this is a great place to live. There are a lot of differences in tax rates between cities and townships. Typically a rural township will be about 20 mills or less, an urban township or a small town about 30 and in the poorer cities which have very low property values, 40 to 60 is not uncommon. I believe that River Rouge has the highest taxes of any jurisdiction.

The millage is applied to the taxable value and one mill is one thousandth, 0.001 or 0.1%. 40 mills is 0.040 or 4%.

[tecpatl]

Property taxes are relatively low on an owner-occupied home that qualifies for the homestead exemption, but rental or other commercial property will nail you big time for the tax. I have a rental house that costs me over DOUBLE the property tax that my own home does. Of course, this means my tenants pay more because I pay more....

[dagnabit9]

I understand (somewhat) about the homestead exemption and I don't need a second place (like a vacation home) 'cause I have an RV. What I am talking about is listings for homes and most taxes shown are between $1500-3500, but I did see one in the $5300+ range and a few around $6000. I know that I don't want to be in the city because the taxes are much higher so I think if I stay in the townships, I should be ok. Taking the homestead exemption would just make it that much better.

[skyl4rk]

Be careful when looking at listings, either calculate the taxes yourself or call the assessor and tell them what you think the property is worth and what the taxes would be on a property of that value.

Realtors will list what the previous owner paid in taxes, which may be below what a new owner would pay.

http://www.michigan.gov/documents/tr...s_232727_7.pdf

[dagnabit9]

Thanks for the tables; I noticed they are from 2007 - are there new ones coming down soon?

[tryin2buy]

Each community has a different number of mills - 1 mil or 1$ for each $1000 the home is assessed at. For example, the SEV of a home is $100,000 meaning the assessors office feels the home is truly worth $200,000. If that community assesses at 25 mills you pay $25 x 100 = $2500 annually in taxes. Soooooo many things come into play here...Where I live the rate is 23 mills but in some Oakland County communities it is over 50 due to school millages, etc.

Also, sometime special assessments are added to property taxes such as new sewers installed for a new subdivision which can add about a thousand or two every year for 20 years (just an example). Pick a couple communities you would like to live in and learn what is included in their taxes. You'll figure it out in no time.

Homestead means you don't have to pay the 18 mills (school taxes) that you pay with non-homestead properties (commercial, etc). It doesn't have to be a second home to be non-homestead. If it has been vacant/foreclosed/or leased out long enough it becomes non homestead. If you buy before May 1st each year you can change the homestead status, if you buy after May 1st you have to pay the non homestead rate until the following year. It gets complicated but can be figured out.

[dagnabit9]

I think I get the jist of it. The better half was looking at listings online at always bypasses the ones with taxes (winter+summer) over 3K/year (we pay almost $1600/year in Albuquerque, but we've been here for 14+ years). Now that I know what I know, I can make a better estimate of what we would pay.

[Bydand]

This may get you in the ball park as well. I know for our house it is almost perfect. MI Property tax estimator