We do have a higher tx rate than most however they are the eisest to get to dispute the taxes and get them lowered I get on average 20-30 homes a year lower at the Dallas Central Appraisal District. Just another cool thing I do for my clients for free. I have to go to dispute mine anyway. Whatever you end of buying the home for you can take thaT IN TO THE DCAD and they will lower it to that price for 2 yrs no fighting. if you need anything else let me know :-) http://www.lisarichardson.net or 469-233-3241
Lisa

Amanda,

Average taxes are 2.5%/year in this area. AVERAGE. So if you qualify at $110,000 they have calculated taxes in your payment. However if you buy a property with a tax value of $23,000 more, that could mean the first year your taxes would be about $560 more than they calculatied on your GFE or about $50/month. This may put you over the ratios of what it would take to make the monthly payment.
This can depend on what time of year you buy the house, when you can protest tax value, etc.
It perhaps is slightly more or less complicated than this explanation, but that is the basic answer.

Amanda,

The tax value has nothing to do with you purchasing the home. The appraised value can affect you purchasing the home if it appraises for less than the sales price in the contract. I would ask your lender for an explanation on this. Especially, since you are saying that you are pay $107K for a home that is tax valued at $133,563. That does not make any sense.

If I can be of further assistance, please let me know.

Amy Downs, Realtor
Keller Williams Realty
972.468.5136 http://www.TeamDowns.com

Your language is a little fuzzy, do you have an accepted offer at 107k. if so the value being hire should not hurt you at all in your purchase. I had clients that recently purchased a home for 106k that appraised for 144k, so good for them. the only reason appraisals matter is if you are trying to buy a house fro say 120k and the appraisal comes back 115k then you can only borrow 115k on it.

what she is probably talking about is that the monthly taxes will put you over your allocated amount a month. lowering the taxes is always a possibility especially if they are greatly out of line. however hedging a purchase on this is risky and not possible from a loan standpoint unless you can qualify for the monthly payment at the current tax rate.

RJ

If I understand all tax value might have a roll into qualaifying purchase of a home due to loan approval amount includes tax, insurance. Speak with mortgage broker who would can assist questions has all the financing figures

National Featured Realtor and Consultant, Mortgage Loan Officer, Credit Repair Lecturer
Lynn911

Yes....
The tax value is used to calculate your tax liability. I have seen this many times.... people try to buy a foreclosure at the very max of their preapproval amount and the tax value is so high that it makes their approval amount not cover the purchase.
A typical purchase of $100K will have a tax of about $2400/yr or $100/month added to your payment.
With the taxable value this much higher, that portion of your payment is much higher.(your taxes are included in your debt ratios)

Can your loan officer not explain this to you?

Amanda, You may be having a problem with communication with your agent. What I'm suspecting they are saying is that the taxable value is based on a value of $133,563 and perhaps the taxes would be too high to keep your payment in line. If you were able to negotiate this property down to 107K next year you could very likely protest the taxes successfully because you were able to buy it lower. I would recommend that you sit down with your agent and/or your lender and have a discussion about this. Don't quit until you understand what they are trying to tell you.