property tax - how do you stop it from rising every year?

Question

I'm in San Fran. Unless you're 55 or a vet, or disabled, you're house tax rises. 10 years ago it was $2,300 a year, now it's $3,400/year. I'll be paying $5,500 by the time I'm a senior. Aarghh!! My senior father was also on the title. After he was deceased, I removed him from the title (bad idea?) Well, I guess that's moot now. BUT - It's a bit of an economic struggle. Is there something I could do? Thanks for any advice

Answer 1

You cannot prevent the annual increases, California is already very generous to property owners with the annual cap on increases.

All you can control is how you report (or don't report) improvements to your home. If you pull a permit, the assessor will be notified and your tax will increase, which it looks like has happened to you in the past based on your increase in tax over the years.

If you make improvements without a permit, your assessed value will only increase at the mandated rate of 2% per year.

Answer 2

In California the assessed value of real property is the sale price of the property then is increased by 2% per year unless you can show that the value market value is less than the assessed value. Unless there are bonds that are paid off, you can count on a 2% increase in your taxes every year. At $3,400 per year you are paying tax on the value of a one car garage in San Francisco. The property is not reassessed when it is transfered from a parent to a child so that should not be a problem.

Answer 3

You don't! Just be thankful that you're in CA and protected by Prop 13. Tax increases are limited to 2% per year. If your taxes were $2,300 10 years ago they should be around $2,800 now unless you have made any improvements to the property.

If you sell the property, the new owner's taxes will be pegged at around 1.25% of the sale price. A property that sold for around $200k 10 years ago is probably worth over $500k now in SF, where property values are not nearly as depressed as the rest of CA. The taxes would be around $6,250 if you had just purchased it for that price.

Count your blessings, you're in better shape than most folks.

FYI, once he died, he automatically fell off the deed. If you were a joint tenant you became the owner automatically at the instant of his death. Removing his name just simplifies things for you when you decide to sell. It does NOT trigger a tax increase in CA since it was a close relative.

Answer 4

Voting for certain politicians or issues but really there is nothing you can do to reduce your property taxes and you don't want to because they reflect the local property value of your home as determined by the local county assessor for your area

Answer 5

The "Prop 13" regulation limits the annual develop allowed on your factors tax as long as you carry identify. although, whilst the valuables is offered (retitled), it relatively is reasssessed at cutting-edge values.