Property tax pro forma modeling for Maryland

[Rob Bird]

To any investors in Maryland that underwrite your own deals: how are you modeling property tax in your pro forma?  Given that assessments are every three years, it needs to be able to account for where you are within that three year period when you buy, and then step it up by 1/3 each year of the assessment. An additional complication is that I assume you have to project future assessed value if your hold is over three years, or if you happen to buy later in a three year assessment cycle. This is really an Excel question more than anything!  It seems like it gets pretty complicated pretty quickly, unless you just have some sort of simple approximation that you project instead.