If you buy and sell several properties in a year, do you have to pay property taxes on all of them?

Question

Let's say you became an amateur property investor... and then managed to buy ten separate properties (through whatever means, don't worry about the costs of loans or whatever-- the point is that you purchased the ten properties) and got them for a somewhat reduced cost so you immediately put them up for sale for a higher price and sold them within, let's say, 3 months, maybe less. Does the amount of property tax depend on how long you own the property or the fact that you own it at all? In other words, you only owned the properties a fairly short time and they were up for sale all or pretty much all of that time, so do you have to pay property tax or is it only if you own the property for a larger part of a year or the whole year?

Answer 1

You would pay the property tax for that portion of time that you own the property unless the buyer agreed to pick that up. If you do this you need to think more about the income tax that will be required for the gain that you make on each property. You would not want to be in a position to have reinvested all of your capital without regard to the taxes that will come due in April

Answer 2

You will pay a pro-rated portion of the property taxes, but you will pay the full amount of the transfer taxes. This can be a pretty significant expense and combined with the other costs associated with the sale, this can pretty much eliminate all your "profit".

Answer 3

You will be paying property tax pro-rated for the length of time you own the property, no matter what. Since housing is spiraling downward don't get stuck with a lot of something you lose your shirt on.

Answer 4

You would be responsible for the portion of the years property taxes that applied to the time you held the property.

Answer 5

When ever you buy any kind of property you are entitled to pay Property Tax simple reason you are the owner of the property. No matter what quantity it is, also you will be in the eyes of Income Tax people. Once you sell it you are not entitled to pay any property tax, one who buys it has to pay.
Also TAX depends from country to county & region to region, it is better you contact the nearest Tax department. But please pay your taxes honestly, regularly because it is for our development.

Answer 6

you pay the tax for as long as you own the property. its taxes are so much a year, if you only own it for a few months, then the tax is divided up and you only pay for the time you owned the property.

i found a link, it may help.

Answer 7

Generally, at closing the property taxes are prorated for the time each party owned the home, so yes you would.

Answer 8

Seems to me the easiest way to allocate the original basis would be to use the tax values of each parcel. Or you could just use the sales prices. I would leave the cost of subdividing the lots out of the allocation, and then add those back to the lot costs.