Property Taxes
Hello, I'm new to creative investor. Two years ago I bought a 4 family house that was rehabbed by someone else . The taxes on city records were $2000, the norm for a 4 family house in this area. After I bought the house, it was reappraised and the taxes were increased to $6500. Ouch! I tried to fight the assesement, but was rejected. Two years later the city (NYC) has inecreased taxes by 18%, so I am now paying about $8000. Double ouch! I'm not in a high income bracket and the house is in the worst part of a gentrifying community. Can someone advise me on what to do?
If you are living in one of the units you can probably file for homestead exemption which would save you some money. Otherwise, without a real basis for challenging the assessment, there isn't much I know you can do. Sell!
How soon and how quickly can you raise rents to overcome some of this overhead?
Thank you for your reply jorge121, but
can you please elaborate on what homestead exemptions are, or where I can find more information about them?[ Edited by VinnieN on Date 03/09/2003 ]
Thank you for reply DaveT,
my overhead is fine for now because I refinanced, and I am still making a small profit. However, I am charging the max as it is right now, and I worry about next year or if a tenant leaves.[ Edited by VinnieN on Date 03/09/2003 ]