Did you know that Fla. 1 of 16 states that taxes investment homes more
Fla. 1 of 16 states that taxes investment homes more
The effective tax rate for investment homes was lower than the effective tax rate for owner-occupied homes in 34 states, including California, Texas, Ohio, Illinois and New York, according to a study from ATTOM Data Solutions.
States where the effective tax rate for investment homes was higher than the effective tax rate for owner-occupied homes included Florida, Pennsylvania, Michigan, Indiana and Arizona.
The average annual property tax for only owner-occupied single family homes nationwide was $3,658, an effective tax rate of 1.21 percent. That was higher than the average annual property tax of $2,437 and effective tax rate of 1.03 percent on non-owner occupied (investment) homes.
Investment property homeowners owed $51.4 billion in property taxes in 2016, accounting for 19 percent of the total property taxes owed nationwide, while the number of investment properties accounted for 26 percent of all single-family homes.
<spancolor:#333333″>The effective tax rate, according to ATTOM Data Solutions, is the average annual property tax expressed as a percentage of the average estimated market value of homes in a geographic area. ATTOM Data Solutions identified the following 10 states as having the highest effective property tax rates in 2016:
- New Jersey: 2.31 percent
- Illinois: 2.13 percent
- Texas: 2.06 percent
- New Hampshire: 2.03 percent
- Vermont: 2.02 percent
- Connecticut: 2 percent
- Pennsylvania: 1.89 percent
- New York: 1.88 percent
- Ohio: 1.68 percent
- Rhode Island: 1.64 percent
“Ohio, in recent history, has among the highest average property taxes in the nation, even though housing is among the most affordable,” says Matthew Watercutter, senior regional vice president and broker of record for HER, Realtors®, in Dayton, Ohio. “Typically, the more populated urban and suburban counties have a higher effective tax rate than their more rural counterparts.
“This issue affects the affordability of housing, as property taxes do affect the ratios for potential buyers. By continually raising property taxes to support schools, as well as other infrastructure in lieu of other funding sources such as sales tax – which generates revenues from property owners as well as non-property owners – property taxes limit a buyer’s ability to purchase as well as the property’s ability to appreciate in value.”
Source: Florida Realtors
-
$1,450,000
Ml01 - Miromar Lakes
Courtesy of Dina Marie Realty LLC
4 BEDS3 BATHS2197 SQFTShare this Property -
$2,189,000
Beachview Country Club Estates
Courtesy of VIP Realty Sanibel and Captiva
3 BEDS3 BATHS2520 SQFTShare this Property -
$1,441,103
Ml01 - Miromar Lakes
Courtesy of Miromar Realty LLC
3 BEDS4 BATHS3060 SQFTShare this Property -
$1,131,230
Ml01 - Miromar Lakes
Courtesy of Miromar Realty LLC
3 BEDS4 BATHS2369 SQFTShare this Property -
$595,999
Woodland Park
Courtesy of Keller Williams On The Water S
4 BEDS2 BATHS2092 SQFTShare this Property -
$5,977,500
Ml01 - Miromar Lakes
Courtesy of Miromar Realty LLC
3 BEDS5 BATHS4410 SQFTShare this Property -
$3,650,000
Ml01 - Miromar Lakes
Courtesy of Miromar Realty LLC
4 BEDS4 BATHS4226 SQFTShare this Property -
$1,125,000
Leisure Acres
Courtesy of Keller Williams Realty Fort Myers
3 BEDS2 BATHS1919 SQFTShare this Property -
$1,375,000
Beachview Country Club Estates
Courtesy of Kingfisher Real Estate, Inc.
3 BEDS2 BATHS2107 SQFTShare this Property -
$795,000
Desoto County
Courtesy of RE/MAX Harbor Realty
3 BEDS4 BATHS2093 SQFTShare this Property -
$1,220,000
Southwinds Estates
Courtesy of VIP Realty Sanibel and Captiva
4 BEDS3 BATHS1967 SQFTShare this Property -
$779,900
Ml01 - Miromar Lakes
Courtesy of Orchid Realty International
3 BEDS2 BATHS2034 SQFTShare this Property