Rental Property Investor · Los Angeles · Member since 2021 · 125 posts · 64 votes
Hello people of BP!
I have been running deal analysis for properties in St. Louis, Missouri. I am very new to analyzing and have never owned a property. So, some things, like property tax, are hard to estimate fairly. Are there any suggestions that you have for me to learn more on this? Is there any place I can go? Anything I can read?
My fear is running the numbers on a deal and thinking I have a good deal, based on the final numbers, but really just having inaccurate information that makes it look like a good deal that really isn't.
Rental Property Investor · AZ · Member since 2021 · 35 posts · 14 votes
5y
@Carl Flint I am new as well but a good starting point is the property history that lists taxes. Have you been seeing that on whichever website you are using to scope out properties? It's certainly not guaranteed but can be verified by the county.
Yes. So, it varies from listing to listing. I have been using realtor.com. On the mortgage calculator that is built into the website it will give, what seems to be, a very low monthly number. For example, on a triplex I am looking at it says $93 in property tax each month that I guess would be built into the loan. This number seems low.
I could be wrong but aren't a standard range of property taxes anywhere from $3500-$10,000 annually?
Rental Property Investor · AZ · Member since 2021 · 35 posts · 14 votes
5y
@Carl Flint I've only briefly looked into St. Louis so I can't say for sure, but maybe you being from California is skewing your perception of normal. I was born and raised in California so don't take that the wrong way, but it can certainly make you second guess numbers when you are looking in the midwest. Have you connected with anyone in your target market yet?
No worries! I am a St. Louis native and a midwestern at heart. I only moved to California a couple of years ago.
But yes, I have a friend who owns a property in St. Louis city that I have to ask questions to. I just wanted to get a well-rounded approach to my dilemma. I have come to the conclusion that property tax on a 150k property should be around 2k annually.