Homebuying Noob Question

Churchill · 05-14-2013, 06:10 PM

Real Estate Taxes vs. Property Taxes?

Are these the same thing?

One (Real Estate Taxes) appear to be able to be folded into one's mortgage as a part of your monthly payment.

The other (Property Tax) are harder to figure out, but I'm told they're seperate, and billing by the local jurisdiction once-per-year?

When trying to figure out how much Home one can reasonably afford in an ultra-high-cost area, this is kinda important.

No RE Agent yet, and once I get one I'm sure they'll explain it, but I'd like to be informed before hand.

FF2® · 05-14-2013, 06:18 PM

They are used interchangeably by people, even though they shouldn't be.

Property tax is a whole another ball of wax, but when talking about homes, people use them interchangeably.

Always use the term real estate tax.

Timmy® · 05-14-2013, 06:20 PM

Quote:

Originally Posted by Churchill

Real Estate Taxes vs. Property Taxes?

Are these the same thing?

One (Real Estate Taxes) appear to be able to be folded into one's mortgage as a part of your monthly payment.

The other (Property Tax) are harder to figure out, but I'm told they're seperate, and billing by the local jurisdiction once-per-year?

When trying to figure out how much Home one can reasonably afford in an ultra-high-cost area, this is kinda important.

No RE Agent yet, and once I get one I'm sure they'll explain it, but I'd like to be informed before hand.

i don't know the difference, but I only pay one and it's paid with my mortgage payment

FF2® · 05-14-2013, 06:39 PM

By the way, RE taxes don't HAVE to be rolled into mortgage payment.

Timmy® · 05-14-2013, 06:41 PM

Quote:

Originally Posted by FF2®

By the way, RE taxes don't HAVE to be rolled into mortgage payment.

yeah

but every time i drive by town hall and there's a sign saying taxes due on 15th,
i still poop myself even though i'm paid up.

jetsfan8099 · 05-14-2013, 06:43 PM

Real Estate tax is referring to your tax on your house and land. This is typically built into your mortgage and paid directly to your town quarterly or bi-annually. Property tax is for your car, boat, trailer, etc. This is paid to your town by you directly annually. Every state is different with respect to what you pay and how much. Property/Real Estate tax is based on your town's mill rate and assessment of the value of your property/house.

If you live in CT, NY or NJ, these are some of the primary reasons for leaving the area. Our states suck!

PlumberKhan · 05-14-2013, 06:44 PM

Don't buy a house if you don't know the difference.

PlumberKhan · 05-14-2013, 06:45 PM

And don't trust RE agents.

They are the scum of the earth.

southparkcpa · 05-14-2013, 06:52 PM

Quote:

Originally Posted by FF2®

They are used interchangeably by people, even though they shouldn't be.

Property tax is a whole another ball of wax, but when talking about homes, people use them interchangeably.

Always use the term real estate tax.

In many southern states, we pay a property tax in addition to our RE tax. The property tax is usually assessed on cars, boats etc.

If (Churchill) is who I think, your state property taxes will be almost non existent and/or you pay them already as a renter.

That aside... now is the best time to buy. Rates at 3 percent are insane. Don't miss this opportunity.

jetswin · 05-14-2013, 06:54 PM

My advice is to try and get a mortgage where you pay the taxes on your own. There is no reason for these mortgage firms to hold large amounts of YOUR money in escrow in order to pay your taxes.

...and yes real estate taxes are insane in NY, especially Westchester

jetstream23 · 05-14-2013, 06:56 PM

Not sure but if your taxes are high they tell me it's because of Obama or you must live in NJ.

I would just call the IRS, they'll help you out. Just don't call them from your office at work if you're employed by the Associated Press.

wut??

FF2® · 05-14-2013, 07:23 PM

If you have less than 20 percent to put down, back will make you pay Private Mortgage Insurance....a ripoff that YOU pay for to protect THEM.

GuidoYaztremski · 05-14-2013, 07:44 PM

Quote:

Originally Posted by FF2®

If you have less than 20 percent to put down, back will make you pay Private Mortgage Insurance....a ripoff that YOU pay for to protect THEM.

True. And most people don't realize that when they started paying Private Mortgage Insurance many years ago they can stop paying if/when their equity in the property exceeds 20%. Just ask.

SAR I · 05-14-2013, 07:45 PM

Quote:

Originally Posted by Churchill

When trying to figure out how much Home one can reasonably afford in an ultra-high-cost area, this is kinda important.

Bergen County, I assume.

SAR I

FF2® · 05-14-2013, 07:47 PM

Quote:

Originally Posted by GuidoYaztremski

True. And most people don't realize that when they started paying Private Mortgage Insurance many years ago they can stop paying if/when their equity in the property exceeds 20%. Just ask.

yes....amazingly enough the bank forget to tells you.

RevisCroWilson · 05-14-2013, 07:49 PM

Quote:

Originally Posted by GuidoYaztremski

True. And most people don't realize that when they started paying Private Mortgage Insurance many years ago they can stop paying if/when their equity in the property exceeds 20%. Just ask.

Yes you would need to get an appraisal and the refinance right? Also youbwould need to wait atkeast 1 year aftwr youbget the mortgage before you can do that I believe.

Sent from my SCH-I535 using Tapatalk 2

Apache 51 · 05-14-2013, 07:51 PM

Quote:

Originally Posted by Churchill

When trying to figure out how much Home one can reasonably afford in an ultra-high-cost area, this is kinda important.

They usually go hand in hand and are a direct reflection on the quality of the school system.

FF2® · 05-14-2013, 08:09 PM

Quote:

Originally Posted by RevisCroWilson

Yes you would need to get an appraisal and the refinance right? Also youbwould need to wait atkeast 1 year aftwr youbget the mortgage before you can do that I believe.

Sent from my SCH-I535 using Tapatalk 2

You don't need to refinance, but if your bank drags their feet you should.

You can ask your at 20 percent ....they HAVE to do it at 22.

FF2® · 05-14-2013, 08:16 PM

Quote:

Originally Posted by PlumberKhan

And don't trust RE agents.

They are the scum of the earth.

LOL.

The system is effed up.

"Agents" who say are they working on your behalf make more money the MORE YOU PAY. Just remember that when they are "negotiating" on your behalf.

Mike D · 05-14-2013, 08:35 PM

FHA is changing MI rules June 1st, not for the better. Uh.

05-14-2013, 06:10 PM	#1
Churchill London, England Circa 1945 Practice Squad Join Date: May 2008 Posts: 289	Homebuying Noob Question Real Estate Taxes vs. Property Taxes? Are these the same thing? One (Real Estate Taxes) appear to be able to be folded into one's mortgage as a part of your monthly payment. The other (Property Tax) are harder to figure out, but I'm told they're seperate, and billing by the local jurisdiction once-per-year? When trying to figure out how much Home one can reasonably afford in an ultra-high-cost area, this is kinda important. No RE Agent yet, and once I get one I'm sure they'll explain it, but I'd like to be informed before hand.

05-14-2013, 06:18 PM	#2
FF2® Believes Sloppy Guy was involved JetsInsider.com Legend Join Date: Mar 2005 Posts: 46,110	They are used interchangeably by people, even though they shouldn't be. Property tax is a whole another ball of wax, but when talking about homes, people use them interchangeably. Always use the term real estate tax.

05-14-2013, 06:39 PM	#4
FF2® Believes Sloppy Guy was involved JetsInsider.com Legend Join Date: Mar 2005 Posts: 46,110	By the way, RE taxes don't HAVE to be rolled into mortgage payment.

05-14-2013, 06:43 PM	#6
jetsfan8099 Don't sweat the small stuff Waterboy Join Date: Jan 2006 Posts: 58	Real Estate tax is referring to your tax on your house and land. This is typically built into your mortgage and paid directly to your town quarterly or bi-annually. Property tax is for your car, boat, trailer, etc. This is paid to your town by you directly annually. Every state is different with respect to what you pay and how much. Property/Real Estate tax is based on your town's mill rate and assessment of the value of your property/house. If you live in CT, NY or NJ, these are some of the primary reasons for leaving the area. Our states suck!

05-14-2013, 06:44 PM	#7
PlumberKhan BRACE YOURSELVES FOR 12... Banned Join Date: Feb 2006 Location: Van down by the river Posts: 21,013	Don't buy a house if you don't know the difference.

05-14-2013, 06:45 PM	#8
PlumberKhan BRACE YOURSELVES FOR 12... Banned Join Date: Feb 2006 Location: Van down by the river Posts: 21,013	And don't trust RE agents. They are the scum of the earth.

05-14-2013, 06:54 PM	#10
jetswin stumblin mumblin butt fumblin Board Moderator Jets Insider VIP JetsInsider.com Legend Charter JI Member Join Date: May 1999 Location: Westchester Co. Posts: 35,458	My advice is to try and get a mortgage where you pay the taxes on your own. There is no reason for these mortgage firms to hold large amounts of YOUR money in escrow in order to pay your taxes. ...and yes real estate taxes are insane in NY, especially Westchester

05-14-2013, 06:56 PM	#11
jetstream23 recovering from turf toe Jets Insider VIP Join Date: Dec 2005 Location: Phoenix, AZ (New Jets Stadium Section 246) Posts: 31,551	Not sure but if your taxes are high they tell me it's because of Obama or you must live in NJ. I would just call the IRS, they'll help you out. Just don't call them from your office at work if you're employed by the Associated Press. wut??

05-14-2013, 07:23 PM	#12
FF2® Believes Sloppy Guy was involved JetsInsider.com Legend Join Date: Mar 2005 Posts: 46,110	If you have less than 20 percent to put down, back will make you pay Private Mortgage Insurance....a ripoff that YOU pay for to protect THEM.

05-14-2013, 08:35 PM	#20
Mike D 2-14 here we come!! And I couldn't be happier about it!! All Pro Join Date: Sep 2003 Location: Sunrise, FL Posts: 9,914	FHA is changing MI rules June 1st, not for the better. Uh.