Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Real Estate Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 11 years ago on . Most recent reply

User Stats

253
Posts
34
Votes
Therese V.
  • Investor
  • Midwest
34
Votes |
253
Posts

50% rule and taxes

Therese V.
  • Investor
  • Midwest
Posted

What percentage of the 50% put aside for maintenance, management, taxes would be your max limit for the taxes?

I ask because I know taxes vary greatly all around the country. The area I am looking has, for example, a duplex at $169,900 one side rented for $775 and the other owner-occ. The taxes (researched through county website) are around $3400/year. I think the property is over-priced based on the numbers. But how about that percentage of 50% that is going towards taxes?

There is also a duplex at $121k both sides rented prob around $750/month each based on local numbers. Those taxes are also around $3100/year. I think these two properties have a high percentage going towards taxes, but wanted to check in here to see what others think about this.

There is also a property at $159,900 that has 4 units, prob $750 each based on local numbers that has taxes around $2200/year. Where do those taxes factor into my analysis and the 50% rule?

Loading replies...