{"id":86803,"date":"2017-03-10T14:30:00","date_gmt":"2017-03-10T21:30:00","guid":{"rendered":"https:\/\/www.biggerpockets.com\/renewsblog\/?p=86803"},"modified":"2024-02-19T08:00:12","modified_gmt":"2024-02-19T15:00:12","slug":"hidden-cash-flow-killer","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/hidden-cash-flow-killer","title":{"rendered":"The Hidden Cash Flow Killer Most Rental Owners Don&#8217;t Consider"},"content":{"rendered":"<p>When you consider the reasons your cash flow gets pulled down, you are likely to think about the usual suspects. Maybe your thoughts go to unit vacancy or utilities. These are valid concerns, of course, and these elements play a major part in keeping your properties performing well. But there is another factor that most investors take for granted, and that\u2019s your real estate tax assessment. You may not have even heard of a tax assessment, but in most states, you have one\u2014and you should know what it is.<\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/dSmGVfYzn2M?ecver=1\" width=\"560\" height=\"315\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><br \/>\n<em><br \/>\n<strong>Related:<\/strong> <a href=\"\/renewsblog\/2012\/10\/08\/how-to-reduce-your-property-tax-assessment\/\" target=\"_blank\">How to Reduce Your Property Tax Assessment<\/a><\/em><\/p>\n<h2>The Effects of a Too-High Tax Assessment<\/h2>\n<p>Your tax assessment is your local town or county\u2019s value of your property. They use that number to calculate your contribution to everything from road costs to your local schools. You may not have heard it explained this way, but I\u2019m talking about your real estate taxes. Most states use the method I explain in the video. (Some don\u2019t, and if yours doesn\u2019t, I would like to hear all about it in the comment field below.) If your tax assessment is too high, you are being charged too much in real estate taxes and may not even know it. Knowing how this number is calculated will enable you to challenge your assessment if it\u2019s too high. Most counties do reassessments every 5 to 10 years. I\u2019ve heard of landlords having their taxes double after getting reassessed, which can happen if you don\u2019t take the right actions to make sure you get a fair valuation.<\/p>\n<p>Be sure to watch this video, where I provide a deep dive into the &#8220;nuts and bolts&#8221; of what you need to know about real estate tax assessments.<\/p>\n<p><em>If you have some stories to share about real estate taxes or if your town does it differently than I describe in the video, I want to hear from you! <\/em><\/p>\n<p><strong>Be sure to leave a comment.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>When considering reasons for low cash flow, you&#8217;re likely to think about unit vacancy or utilities. But there&#8217;s another factor that most take for granted<\/p>\n","protected":false},"author":1673,"featured_media":84756,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4241],"tags":[],"class_list":["post-86803","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate-business-management"],"acf":[],"comment_count":0,"_links":{"self":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/86803","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/users\/1673"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/comments?post=86803"}],"version-history":[{"count":0,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/86803\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media\/84756"}],"wp:attachment":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media?parent=86803"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/categories?post=86803"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/tags?post=86803"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}