What causes a property tax on a property to up & down? I saw a property with a property tax that jumped $4000 in a year. How did this happen?

@Patti Robertson I think the OP was talking about property taxes jumping 4K not the assessed value of the home. Another reason you could see a jump like this is if the home was under homestead exemption in one year, and then the following year that was removed. We see that here in FL, not sure how that plays out in your state.

There are a lot of factors. Most common would be a revaluation (this is where the properties in the area are reassessed), this however does not always mean taxes are going up.....Your value increasing and your taxes increasing are 2 vary different things! Another possibility is a school referendum... After the referendum term the taxes often drop. Another possibility is a loss in (Some) property value... Locally we just had a large manufacturing employer have their value decreased by 10mil. This will have a noticeable impact on home owners. Another form of this is when folks moved their wood land to "mfl" managed forest lands.. The taxes are substantially decreased as the land owner signs a timber management contract and pays when they do a harvest. Laws vary drastically from state to state. I would suggest learning yours. After all it is one of if not the biggest expense you will have as an investor.

If politicians want more money to fund their programs, they have to increase taxes on those who earn an income (rich) so they can give it to those who don't earn an income (disenfranchised victims). This gets them more votes for the next election and gives the "rich" incentive to move to another state.

It could come from voting for certain politicians who run on taxing the rich. If you own property, maybe you are rich in NJ. It also comes from increases in education spending at the local level. Taxes in "red" states seem to be lower. If not property taxes, then income taxes.

Property values. Every three years city will reappraise the value of homes. IF they deemed value has gone up in those three years so will your taxes

often the permits which were filed on a property

Hi @Andri Artayudianto I know the Newark area has extremely high taxes, just like the Chicago area! I own multifamily in Berwyn and Lyons which are both near west Chicago suburbs. They both have high taxes in relationship to the rest of the country, and one of the tax bills is actually going up over $3,000 this year! Because we live in such expensive areas, when a property appreciates the taxes rise with it. All this to say, make sure you get a great deal and also make sure you understand how your local taxes work. Your local tax assessor's website probably has all the information you need to do the research. I just use the tax assessors calculator and it explains all the formulas.

Wow, so many replies. Thanks guys. Yes, it's the tax that went up $4K. Not talking about home price. And it's not my property. It's just some property I checked out. I thought I'd ask BP.

What causes a property tax on a property to up & down?What causes a property tax on a property to up & down?

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What causes a property tax on a property to up & down?

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