Single Family Rentals: Months rent to cover property taxes

[Drole]

Just got a tax bill and am curious what rent-to-property tax looks like in different areas.

I just checked a couple rentals and in Texas (no state income tax), we're paying 3 months of rent toward property taxes.

[waltworks]

All of the places I've ever owned have hovered in the 1 month range somewhere (ie rents for $1600, property taxes ~$1600). That's UT, NM, CO, though. I would imagine TX is always going to be higher just due to the way the tax system is set up there.

-W

[SuperSecretName]

i'm a bit less than 2x.  in MD.

[montecristo1985]

In my corner of Arkansas, it usually right at 1 month.

[cchrissyy]

CA - my annual property tax is roughly 1.5 months of rent

[jviska89]

Southwest Michigan and we pay 2 months for property taxes. And that's on a property that meets the 2% rule. Most properties around here are closer to 3 months.

[tralfamadorian]

I prefer one month but have up to two months in SC.

[Gin1984]

NYS was five months.

[toganet]

For the property that I am about to rent out it will be about 4 months. This is in Upstate NY, in a triple-taxed area (village, town, county).

[srad]

For the property that I am about to rent out it will be about 4 months. This is in Upstate NY, in a triple-taxed area (village, town, county).

Man NY is steep.  A few years back i lived in Westchester County and rented a place, it was a big old home, converted into a triplex.  The owners lived in half of it and the other half was split into two units.,  I looked up the taxes for that place while i was living there, 60k.  The rent from the two units just barely covered those taxes. 

[mrl]

TX - mine are all less than 1 month...lets call it 3 weeks. Mine are low end rentals, so that might skew it a bit.

[SwordGuy]

NC, Mine are 1.5 month's rent.

[Jesstache]

Ours are about 1.25 in Oregon.  If we were to rent out our primary residence it'd be closer to 2 since it's much newer than our rentals.

[Drole]

TX - mine are all less than 1 month...lets call it 3 weeks. Mine are low end rentals, so that might skew it a bit.

Well now that's particularly interesting to me. Whereabouts in TX are they? Rural/city/small town?

[Drole]

NYS was five months.

That's just painful! 

[Blindsquirrel]

   Ohio- variable greatly. The low is 0.52 months the high is 3.04 months

[mrl]

TX - mine are all less than 1 month...lets call it 3 weeks. Mine are low end rentals, so that might skew it a bit.

Well now that's particularly interesting to me. Whereabouts in TX are they? Rural/city/small town?

Large city

[thedayisbrave]

I'm in Raleigh.  Mine are about a month's rent toward taxes.

[Mr. Green]

NYS was five months.

Dang! How can it be worth having a rental when almost half the income goes to property taxes?

[Enigma]

Outskirts of Nashville, TN...  Just calculated my taxes from my spreadsheet with my units.  Appears to be 1.5m rent

[toganet]

NYS was five months.

Dang! How can it be worth having a rental when almost half the income goes to property taxes?

I'll say in my case I'm renting below market value, as the tenants are family.  Market value would reduce it to about 2-1/4 months. 

[rab-bit]

Taxes on our two rentals in the Pittsburgh suburbs are about 1.75 months rent.

[clarkfan1979]

Fort Collins, CO: 0.77 months rent

Fort Myers, FL: 0.65 months rent

[YttriumNitrate]

For an B+/A- single family residence in Indiana, I am at little under 2 months to cover property taxes. Rentals are taxed at twice the rate as owner occupied.

[GuitarBrian]

Mesa, AZ, 1 month. $1000
Phoenix, AZ, 14 days. $442