Taxes...... redux (Savannah: insurance, houses, neighborhood)

[fellini123]

Ok guys I am still looking, and still trying to figure out how taxes are levied. I havent given up hope yet!! LOL
So for all you regulars, you know who you are.......is this correct:

Appraised value of house X 40% = assessed value of house

Assessed value of house X millage rate = your taxes.

And the appraised value has nothing to do with the price of the house.

I was missing the assessed value is 40% of the appraised/or fair market value.

Am I right here?? That would make most of the houses that I am looking at, their tax rate between 2,000 and 2,500 which is reasonable. Well OK not reasonable but I can deal with it!! LOL

thanks

Alice in Virginia

[ellie]

LOL Sounds good to me. Taxes are taxes. They get lumped into the total package. Only thing you can save money on is insurance. For some reason, prices vary. So shop around.

[fellini123]

Well on insurance we have a good deal we have USAA and have yet to match their rates with anything else.

Where as taxes maybe taxes, as I was figuring it before taxes on a 200,000 house in Savannah was 4,000 a year, where as in NC or here in Virginia it was only about 1000. So that was pretty significant. As the price on the house went up the taxes in savannah went up drastically.
If I am right with mynew figuring and we pay taxes on 40% less of appraised price then the tax rate is a bit more reasonable.

Alice in Virginia

[Padgett2]

I think that you are pretty much in the ball park. Maybe even a little high unless you also include city taxes.

One other thing, if you obtain title to the property befor Dec 31, you will get a homestead exemption for the entire 2009. Be sure and apply for it.

[fellini123]

OK very interesting, what if we buy a house in 2009, do we get a homesteading exemption??
Yes we would be in town, I was using a millage rate of 13.10 if we are in town should I also tack on 12.7???

I wish it were easier to figure out!! Here you just multiply the apraised value of your house by .0058 and that is it.

Alice in Virginia

[Padgett2]

Alice, I think you are worrying needlessly at this point. The millage rate can be raised or lowered any time the county or the city thinks it needs to be. I live in the unincooperated area and my millage rate for county and state is a little over 14. If I lived in the city limits, I think the county rate would drop, and I wouldn't have to pay the transit tax. If I were in an area that was not served by the CAT (public bus system) I wouldn't have to pay the transit millage.

Now, about the homestead exemption. I don't know if you bought in 2009, just when the exemption would take effect.. It may have a middle of the year effective date too. I just know that when we bought our house in December, we were told to get the utilities changed to our name before the 31st, as that would establish ownership, even though we had not actually moved in. We took the paid bills into the county tax office and filed. We didn't actually take posession of the house until January. The tax notice that we received for the first half of the year reflected the exemption from January.

[fellini123]

It isnt the actual aillage rate that I am worried about. It is the figure that millage rate is worked on. I mean if the house is appraised at 200,000 is the millage rate applied to 200,000 or to 40% less, or 40% OF the 200,000?? that is my real question.

A. Millage rate X 200,000 = Tax paid

B. Millage rate X (200,000 X 40%) = tax paid

C. Millage rate X [(200,000 X 40% = y) 200,000 - y] = tax paid

And I thought I would never use algebra!!!!! LOL

Alice in Virginia

[ellie]

I'm pretty sure the answer is B. And that doesn't include your homestead exemption or the arbitrary but commonly granted random exemption for unknown causes. (I get one of those from time to time)

http://www.chathamcounty.org/boa_facts.pdf

[Padgett2]

Ellie gave you a great link. I agree, it would be B.

I had forgotten that my tax notice is based on the Stephens-Day exemption. That does make a difference in the total tax. The FMV of my home is based a lot on where it is. It's a small, old house, but it's in a very desirable neighborhood. So the FMV is much higher than it would be elsewhere. It's not worth it, and I don't think I could sell it for that. In other areas of the County, they would probably knock about 125,000 off my FMV. But since we get the double Senior Citizen exemption, it's OK.