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Learning, Sharing, and Teaching => Real Estate and Landlording => Topic started by: Drole on November 13, 2017, 05:20:41 AM

Title: Single Family Rentals: Months rent to cover property taxes
Post by: Drole on November 13, 2017, 05:20:41 AM
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.

Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: waltworks on November 13, 2017, 09:11:13 AM
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
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: SuperSecretName on November 13, 2017, 09:16:59 AM
i'm a bit less than 2x.  in MD.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: montecristo1985 on November 13, 2017, 09:30:32 AM
In my corner of Arkansas, it usually right at 1 month.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: cchrissyy on November 13, 2017, 10:24:52 AM
CA - my annual property tax is roughly 1.5 months of rent
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: jviska89 on November 13, 2017, 11:10:41 AM
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.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: tralfamadorian on November 13, 2017, 11:14:06 AM
I prefer one month but have up to two months in SC.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Gin1984 on November 13, 2017, 11:27:01 AM
NYS was five months.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: toganet on November 15, 2017, 10:48:32 AM
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).
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: srad on November 15, 2017, 11:40:31 AM
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. 
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: MRL on November 15, 2017, 09:20:25 PM
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.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: SwordGuy on November 15, 2017, 10:02:47 PM
NC, Mine are 1.5 month's rent.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Jesstache on November 15, 2017, 10:53:47 PM
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.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Drole on November 15, 2017, 11:14:08 PM
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?

Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Drole on November 15, 2017, 11:15:25 PM
NYS was five months.

That's just painful! 
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Blindsquirrel on November 16, 2017, 05:25:47 AM
   Ohio- variable greatly. The low is 0.52 months the high is 3.04 months
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: MRL on November 16, 2017, 09:24:42 AM
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
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: thedayisbrave on November 16, 2017, 04:14:46 PM
I'm in Raleigh.  Mine are about a month's rent toward taxes.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Mr. Green on November 16, 2017, 07:48:07 PM
NYS was five months.
Dang! How can it be worth having a rental when almost half the income goes to property taxes?
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: Enigma on November 17, 2017, 01:24:16 AM
Outskirts of Nashville, TN...  Just calculated my taxes from my spreadsheet with my units.  Appears to be 1.5m rent
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: toganet on November 17, 2017, 09:45:51 AM
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. 
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: rab-bit on November 17, 2017, 10:40:05 AM
Taxes on our two rentals in the Pittsburgh suburbs are about 1.75 months rent.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: clarkfan1979 on December 02, 2017, 01:22:11 PM

Fort Collins, CO: 0.77 months rent

Fort Myers, FL: 0.65 months rent
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: YttriumNitrate on December 02, 2017, 05:04:31 PM
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.
Title: Re: Single Family Rentals: Months rent to cover property taxes
Post by: GuitarBrian on December 02, 2017, 06:18:18 PM
Mesa, AZ, 1 month. $1000
Phoenix, AZ, 14 days. $442