Property taxes in Ohio are high compared to other states (Columbus: 2014, how much)

[bjimmy24]

Originally Posted by jbcmh81

A huge number of jobs are created through taxes in some way or another, whether through direct tax subsidies, credits or abatements. It seems wrongheaded to me to say that we should just do away with all that and rely on hope and the goodness of companies to create jobs. I'm not a "free market solves everything" believer in terms of privatization of public services. I just don't think it is a good idea to make everything about profits. I think you also have it opposite when it comes to regulation. Regulations tend to benefit consumers and employees. Deregulation tends to benefit business interests alone, which may or may not be passed along in some form down the line.

We just fundamentally don't agree on the bottom line. We know what causes poverty. It is the natural existence of humanity and was that way for many thousands of years. The correct question is: what causes wealth? It certainly isn't governments or taxes or regulations.

You and I do not benefit from cities like Austin getting rid of transportation alternatives. We don't benefit by having to May higher prices for haircuts to compensate for the regulations that mandate x hours of training. We don't benefit from building codes that restrict height in places like DC so housing costs get jacked way up. We don't benefit in places like Boston by not being allowed to discount alcoholic drinks. We don't benefit by putting onerous and useless requirements on so much.

Businesses LOVE regulations. It keeps competition out. Look at the food industry. We used to have thousands and thousands of meat companies to buy from. Now something crazy like 80 percent of our meat comes from the same four companies. The remaining companies have so many regulations slapped on them that just wanting to eat chicken without hormones or beef that wasn't corn fed now costs way more than it should. This doesn't help you or me. This actually literally makes us sick.

I could go on for days but you see my point I'm sure. I think you cherry pick the regulations you like that you think are helpful. But the reality is, there are thousands more and they hurt us.

Markets will solve issues around governments one way or another. It's not always pretty though. It could mean the establishment of a mafia, or a country, like the Soviet Union, could collapse and a huge number of people lose everything. The longer everyone fails to realize this, the worse it becomes. We are living off the fruits of free enterprise that we had for a solid 150 years. We didn't become wealthy by raising taxes in 1790. In fact we didn't have a formal income tax until 1913. It's been a great ride, but we are so far away from the game plan that built such awesome wealth. I don't think we're going to get back on track any time soon.

[IDtheftV]

Originally Posted by Cleveland_Collector

The average Ohioan pays $1836/yr in property tax while the average NC family pays $1209 which is completely deductible.

Not really.

The Standard Deduction for an individual is $6,300 and for a married couple it's $12,600.

If you have Itemized deductions exceeding those amounts, you can use the property tax as part of your deductions.

As an example, if your total Itemized Deductions are $18,900 for a married couple, you are only getting to use 1/3rd of that property tax as a deduction and not the entire amount. If your marginal rate ( your tax bracket ) is 25% ( say 30% for Fed + State ), then you get a tax reduction of 30% of 33% of $1,209 or just under $120.

[RememberMee]

SD-100 is kinda a supplement for property tax, it is an additional "school tax" imposed on the residents who live outside of cities and pay no city taxes. For my school district I pay 1% of the GROSS income, so effective property tax on more than modest dwelling is around $2,200. You just cannot run in the boonies to escape taxes, if you do, you'll pay more in taxes while receiving no city services.

[greenvillebuckeye]

Taxes in South Carolina are very low. Low property taxes for sure. BUT not only do you pay taxes on your home also on your car and boat (if you have one).

[ohio_peasant]

Originally Posted by RememberMee

SD-100 is kinda a supplement for property tax, it is an additional "school tax" imposed on the residents who live outside of cities and pay no city taxes. For my school district I pay 1% of the GROSS income, so effective property tax on more than modest dwelling is around $2,200. You just cannot run in the boonies to escape taxes, if you do, you'll pay more in taxes while receiving no city services.

School district tax-rate varies widely. Mine is only 0.5%; I've seen some that are over 1%. For higher-income people living in a "modest house", the SD tax can vie in annual dollar amount with the property tax.

In a 0.5%-SD township without its own local income tax, the cumulative tax burden is still quite a bit lower than in incorporated towns. So there is a partial escape. However, the level of services is indeed low. Internet access? The only options are cell-towers or satellite. Likewise with any other aspect of communications. Water/sewer? Roll your own. Snow removal? Eventually.

[Jbeechuk]

In Hilliard (Franklin County), I pay nearly 3% in property tax. Very expensive, but we have excellent schools.

[ayoskillz]

Originally Posted by greenvillebuckeye

Taxes in South Carolina are very low. Low property taxes for sure. BUT not only do you pay taxes on your home also on your car and boat (if you have one).

But sc is the first state I seen you do not have to have tags on your trailer which is a plus. I lived all over from oh to ct to nc to sc and ohio taxes are no where near taxes in ct but nc and sc are alot lower with very good schools also.. ( in charleston area). I brought a 160000 house in sc and my taxes are $875 a year. Car tax is 250 a year but thats about it. Gas right now 2.02. I just left ohio and it was 2.29 so not a big difference and my electric bill runs about $150 .
At the end of the day its really about where you want to be at and jobs. Taxes dont play a huge part in it unless you are in ct where you can pay $7000 on a 200k house in some spots. 200k house is about 1600sq built in 1940s with very small yard and on street parking

[warren zee]

Originally Posted by ram2

How do working people afford to live there?

Many of the people who "can afford to live on LI" are either -


1. Receiving some sort of help from parents. They got a down payment of 20K from each set of parents when they married as wedding gift. It's probably double that now.

2. They live in accessory apartments owned by parents while they save. My wife and I lived, for a year in her parents guest cottage. They charged us no rent. When they rented it out, although it was only a 2 bedroom cottage, it was cute and charming, with beautiful views. But it was small with no washer or dryer and no dishwasher. It went for $1500 per month before we used it.

So, some young marrieds windup in finished basements or garages. The rent makes it prohibitive for most couples who rent and have no help to EVER OWN.

Since a 1 bedroom apartment in a decent complex that is legal starts at about $1000 per month, there is no way to ever own - with out family support. NONE/
Illegal apartments abound on LI. Then a neighbor who does not like landlord, becomes annoyed and turns them in. The landlord gets steep fine.

The couple or family are evicted.


3. They move south. Don't fit into the culture of Texas or NC or SC - or Florida. And those places are not that cheap either. So they adjust. Or they move back.

4. They try upstate NY where it's cheap. And there are few jobs. And it's cold as the arctic.

5. They move to the Poconos of PA. Prpperty taxes there are "only" about $10,000 per year.

6.They buy a mobile home.

7.They continue to rent until they inherit their parent's home. Or - or the parents decide to give -or practically give their home to the couple.

8. Because of all of this and cultural differences from most of the country, Long Isanders marry later. Late 20s and early 30's are not unusual.

What the don't do - but WE DID -is checkout the Midwest.

Had we done that earlier in our marriage? We could have BOUGHT a STATELY home for CASH in the early 90s - in Ohio. Wish we had known what we do now.

For us? OHIO ROCKS!

[ram2]

Originally Posted by warren zee

Many of the people who "can afford to live on LI" are either -


1. Receiving some sort of help from parents. They got a down payment of 20K from each set of parents when they married as wedding gift. It's probably double that now.

2. They live in accessory apartments owned by parents while they save. My wife and I lived, for a year in her parents guest cottage. They charged us no rent. When they rented it out, although it was only a 2 bedroom cottage, it was cute and charming, with beautiful views. But it was small with no washer or dryer and no dishwasher. It went for $1500 per month before we used it.

So, some young marrieds windup in finished basements or garages. The rent makes it prohibitive for most couples who rent and have no help to EVER OWN.

Since a 1 bedroom apartment in a decent complex that is legal starts at about $1000 per month, there is no way to ever own - with out family support. NONE/
Illegal apartments abound on LI. Then a neighbor who does not like landlord, becomes annoyed and turns them in. The landlord gets steep fine.

The couple or family are evicted.


3. They move south. Don't fit into the culture of Texas or NC or SC - or Florida. And those places are not that cheap either. So they adjust. Or they move back.

4. They try upstate NY where it's cheap. And there are few jobs. And it's cold as the arctic.

5. They move to the Poconos of PA. Prpperty taxes there are "only" about $10,000 per year.

6.They buy a mobile home.

7.They continue to rent until they inherit their parent's home. Or - or the parents decide to give -or practically give their home to the couple.

8. Because of all of this and cultural differences from most of the country, Long Isanders marry later. Late 20s and early 30's are not unusual.

What the don't do - but WE DID -is checkout the Midwest.

Had we done that earlier in our marriage? We could have BOUGHT a STATELY home for CASH in the early 90s - in Ohio. Wish we had known what we do now.

For us? OHIO ROCKS!

I thought everyone in the NYC metro area was/is moving to the Philadelphia metro due to the relative lower cost of living?

[ohio_peasant]

Originally Posted by warren zee

...
8. Because of all of this and cultural differences from most of the country, Long Isanders marry later. Late 20s and early 30's are not unusual.

What the don't do - but WE DID -is checkout the Midwest.

...For us? OHIO ROCKS!

Cultural differences are enormously important! Without making too personal of a set of observations, I'd opine that the European-oriented set from "old" NYC (mid-20th-century) would encounter severe cultural challenges in the Midwest, except possibly in enclaves in the largest cities (Chicago, Detroit, Cleveland). Moving from big-city to small-town is traumatic overall, but moving from NYC to small-town Midwest is especially so.

Returning to financial questions, if one does happen to relocate from an expensive coastal city to a cheaper/smaller town, well, it's possible to afford a more lavish quality of life, and possibly to save more money for one's investments/retirement. But there's an opportunity-cost, of foregone residential real-estate appreciation. Certainly we can invest in stocks or whatnot, and not counting on our personal residence as principal engine of wealth-building. I'd be the last to extol real-estate as a path to riches! Even so, for persons who can afford that NYC or SF house, a lifetime of owning such a house is a nice instrument for diversification, beyond stocks and bonds. In the Midwest, this isn't possible, owing to doggedly low perennial real-estate appreciation.

I wonder what will happen going-forward. Will a $100K house in Ohio still cost $100K in 40 years? Will a $1M house in the NYC metro-area appreciate to $4M... or stay at $1M, or actually decline in price? Correct me if I'm wrong, but weren't residential real-estate prices more or less uniform nationwide, in the 1970s... diverging greatly, since then?