babsbag
Herd Master
We pay about 1% of the appraised value and we also have income and sales tax. A lot of both. I guess "blue" is more expensive than "red".
Misfitmorgan's Journal - That Summer Dust
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- #592
misfitmorgan
Herd Master
Let me try to explain property taxes here in Michigan.
We are taxed based on the Assessed Value of the property which is approximately half of the REAL Value. So if your house is Really worth 200K you get taxed on a 100K house, not sure what the purpose of this is but it is how it is done. However there can be exceptions like the place we are buying is assessed at real value of $78,200 so it should be taxed at a value of $39,100 but because we are in a "poor" county it is only taxed at a value of $35,117. The $39,100 is actually the "state equalized" value and what we will pay some day if our county is ever not poor lol.
You may have your property re-assessed whenever you like but it is always re-assessed upon sale or if you pull a permit for improvements/new buildings.
City taxes do not exist here except for in really big cities like detroit. We do however have county taxes added to our property taxes. County taxes include emergency services, school tax, road tax, millage, etc.
Your tax rate is based on non-homestead, homestead, and Ag.
We have winter taxes(issued Nov) and summer taxes(issued July) these taxes due date is the following month so Dec and Aug.
Summer Taxes $470
Winter Taxes $127
The time they are issued and the different amounts are because Michigan is an Ag state and has long been one so the state did it to help out farmers. Summer taxes are 78.75% of our total property taxes and winter taxes are 21.25% of the total taxes. This makes good sense if you think of it like a farmer who farms table grains, hay, livestock, etc. You get your harvest off the fields and sold in August if your doing beans, hay you already have at least 2 cuts, oats, rye, straw, a few crops of meat birds, etc. You have all those goods you can sell so there is a large income flux. Makes sense to have a large tax due when you have your biggest income of the year.
Alternatively winter taxes are historically a harder more expensive time for farmers. Most livestock is on all hay and grain, electric goes up because of short daylight hours, heat bill goes up, etc. Winter taxes are why a lot farmers raised grains/hay and livestock. Grains/hay took care of Summer taxes and between September to November most livestock will be matured to sell for slaughter...goats, sheep, pigs, late veal or adult cows etc. Winter/Spring is also when you buy your seed for the next season which is not cheap.
We are taxed based on the Assessed Value of the property which is approximately half of the REAL Value. So if your house is Really worth 200K you get taxed on a 100K house, not sure what the purpose of this is but it is how it is done. However there can be exceptions like the place we are buying is assessed at real value of $78,200 so it should be taxed at a value of $39,100 but because we are in a "poor" county it is only taxed at a value of $35,117. The $39,100 is actually the "state equalized" value and what we will pay some day if our county is ever not poor lol.
You may have your property re-assessed whenever you like but it is always re-assessed upon sale or if you pull a permit for improvements/new buildings.
City taxes do not exist here except for in really big cities like detroit. We do however have county taxes added to our property taxes. County taxes include emergency services, school tax, road tax, millage, etc.
Your tax rate is based on non-homestead, homestead, and Ag.
We have winter taxes(issued Nov) and summer taxes(issued July) these taxes due date is the following month so Dec and Aug.
Summer Taxes $470
Winter Taxes $127
The time they are issued and the different amounts are because Michigan is an Ag state and has long been one so the state did it to help out farmers. Summer taxes are 78.75% of our total property taxes and winter taxes are 21.25% of the total taxes. This makes good sense if you think of it like a farmer who farms table grains, hay, livestock, etc. You get your harvest off the fields and sold in August if your doing beans, hay you already have at least 2 cuts, oats, rye, straw, a few crops of meat birds, etc. You have all those goods you can sell so there is a large income flux. Makes sense to have a large tax due when you have your biggest income of the year.
Alternatively winter taxes are historically a harder more expensive time for farmers. Most livestock is on all hay and grain, electric goes up because of short daylight hours, heat bill goes up, etc. Winter taxes are why a lot farmers raised grains/hay and livestock. Grains/hay took care of Summer taxes and between September to November most livestock will be matured to sell for slaughter...goats, sheep, pigs, late veal or adult cows etc. Winter/Spring is also when you buy your seed for the next season which is not cheap.
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Mike CHS
Herd Master
That's similar to how it was where I grew up in Missouri (all farm land).
We only pay .25% of appraised value here to the county and that's it. We did ask for a reappraisal this year to cover ourselves. We tripled the value of our place since last appraised and they have a tendency to look favorably on people who let them know they have made improvements. The county man ignored us with a lot of things like when he asked how many baths and we told him two and a half. He said that house is to small for that so you must just have one. There was several other things that went the same way like we enclosed two areas around a small building and he called it a garden shed. We just got our tax bill and it went up $27.
We only pay .25% of appraised value here to the county and that's it. We did ask for a reappraisal this year to cover ourselves. We tripled the value of our place since last appraised and they have a tendency to look favorably on people who let them know they have made improvements. The county man ignored us with a lot of things like when he asked how many baths and we told him two and a half. He said that house is to small for that so you must just have one. There was several other things that went the same way like we enclosed two areas around a small building and he called it a garden shed. We just got our tax bill and it went up $27.
babsbag
Herd Master
I want your tax man. 
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- #595
misfitmorgan
Herd Master
No kidding! But their really not to bad here either, at least in my county.
Went yesteray and signed the agreement to buy and dropped off the ernest money check.
Went yesteray and signed the agreement to buy and dropped off the ernest money check.
Bruce
Herd Master
Whoo hoo!!!!
babsbag
Herd Master
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- #598
misfitmorgan
Herd Master
Been back and forth with the bank man loan should be a 30yr conventional with 5% down APR 4.25(i could have paid a partial point and got it to 4.125% but didnt seem worth it) And closing costs somewhere below $5,900 which includes 6 months home insurance and 1 yrs property taxes.
babsbag
Herd Master
Sounds good. Hope it goes all the way through with no hiccups.
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- #600
misfitmorgan
Herd Master
You and me both babs!!!
