Home Buying in 90048>Question Details

Hanayali, Home Buyer in 90048

how much is property tax on a 700,000 home?

Asked by Hanayali, 90048 Thu May 24, 2012

Help the community by answering this question:


California property taxes can vary from county to county but it's an average of 1.25% of the purchase price of the home, in this case $700k, which would be about $8750/year or $4375/bi-annually. Usually the taxes are paid bi-annually (twice a year).

Web Reference : http://www.globenetrealty.com
2 votes Thank Flag Link Tue Aug 20, 2013
Hi Hanayali,

Take a peek at "Estimating Property Taxes in CA" @ http://tinyurl.com/bjjledz

1 vote Thank Flag Link Tue Aug 20, 2013
Depending on where you are is could be anywhere from 1.25% and up.
1 vote Thank Flag Link Sat May 26, 2012
In LA county , the tax is based on 1.25 % of the purchase price of the property. Your yearly cost will be 8750 $. It will be split up into 2 payments.

Neal Grusky
DRE# 01890580
Hpremiere Properties
Real Estate and Financing
10940 Wilshire Blvd. Suite 1600,
LA, CA 90024 | Office:
(800) 652-1768
| Fax: (800) 652-7604
1 vote Thank Flag Link Thu May 24, 2012
property taxes are about .0125 of the purchase price per year. On this home you are looking at around $8750 annually.
1 vote Thank Flag Link Thu May 24, 2012
In Los Angeles County, it's about 1.25% on a fiscal year. And, customarily, Seller pays for city and county transfer taxes on a real estate sale which is for LA City $4.50 / $1,000 and LA County $1.10 / $1,000, or a total of $5.60 / $1,000.
For example on $700,000:
Annual fiscal year tax: 1.25% x $700,000 = $8,750
Transfer tax: $5.60 x 700 = $3,920

Best of luck!

Douglas Perez
(213) 375-8741
1 vote Thank Flag Link Thu May 24, 2012
Hi Hanayali:

Property tax is based upon the sale price and is also different from State to State, and County to County. In Los Angeles County, property tax is 1.25% of the sales price per year....which should be about $8,750.00 per year.

This will also be prorated through escrow on the day that you close escrow.

Good luck!

All the best,

1 vote Thank Flag Link Thu May 24, 2012
Hi Hanayali,

There's also a lump sum for closing costs to consider. Standard closing fees are usually only several thousand dollars, but lenders fees and prorations for property taxes prepaid by the sellers can add substantially to this amount. Lenders will typically require a 10% to 20% down payment as well if you’re financing part of the purchase.
1 vote Thank Flag Link Thu May 24, 2012

1.25% is a widely used rough estimate for CA; HOWEVER, there are actually three types of tax that can apply on any specific property you come across. The following steps you through the process of finding this information:

"Estimating Property Taxes in CA"

You also might be interested in who "customarily" pays Escrow/Title/County/City transfer taxes (always negotiable by the way): http://docs.Steven-Anthony.com/ClosingCostsGuide.pdf

1 vote Thank Flag Link Thu May 24, 2012
Make sure that you're working with a good Buyer's Agent...who could have answered this question for you in 2 seconds! Keep in mind, that if you are working direct with the Seller's Listing Agent (who has a fiduciary, contractual duty to the seller!), that every word you say will be shared with the Seller. Yikes! A good agent will negotiate a much better deal than you can on your own.

Hire your own representation to guide you through the negotiating process, and especially through the escrow. Seller pays for your agent!

Good luck!

Jayne Clement
Keller Williams Realty
Cell) 213/309-5005
DRE# 01877738
1 vote Thank Flag Link Thu May 24, 2012
In California Property taxes are set at 1% of the value at the time of purchase or transfer (although some transfers are exempt.) This is typically 1% of the sales price as this is considered to be the best indicator of value in a transaction. However the assessor has the right to set the value at a different amount if they believe the transaction was not at market value; this is usually in a non-arm’s length situation.

However there are several different assessments that can – and typically are - be added to that figure. These are called “direct levys” and can vary considerably. For older established areas a .25% factor is usually a bit more than it will actually be, but a good estimate. (This is where the 1.25% factor comes from.)

While the 1.25% is a good estimate, there are many areas where the direct levys can add-up to considerably more than the .25%. That’s why is really important to get the actual tax bill and see just what those direct levys are – especially if the house was build less than 15 years ago. You can get this information from the county tax collector or a local escrow company.
Web Reference: http://www.SacRELender.com
1 vote Thank Flag Link Thu May 24, 2012
approx 8750.00/ year. I specialize in this area of town...would you like some help?

My email is chadrailey@msn.com
1 vote Thank Flag Link Thu May 24, 2012
1.25% of purchase price.
Good luck!
Eileen Lanza
Keller Williams
1 vote Thank Flag Link Thu May 24, 2012
That is $8750 per year. Can increase slightly every year. See:
Flag Thu May 24, 2012
I use 1.25% to ballpark for LA. Calculates to approx $8750
1 vote Thank Flag Link Thu May 24, 2012
Are you sure your property is worth $700,000 or is that just the amount you paid for your home when you bought it? Don't forget a little extra digging can save you thousands. I would contact your county's assessor's office and have your property re-evaluated. The standard amount is only what they think you should pay ,but smart home owners go the extra mile and have their properties re-assessed before paying anything.A few words of advice have your property valued before anything .
0 votes Thank Flag Link Thu Mar 6, 2014
I am wondering if I want to sell a property at $7M. How much is tax I need to pay in New York City?
0 votes Thank Flag Link Thu Mar 6, 2014
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