Will lease option raise the property tax by county?

[Soumya Brijesh]

Hi All,

I was analyzing a property(condo with HOA of $150), where I see the county is valuing the property at $39000. The Current Market Value is around $140K. The owner is in distress and wants to get rid of the property. I see that the numbers go haywire as soon as the county values the property at market rate and the taxes go up to $2000. This number is confirmed at I see some similar properties having this rate. The current owner only pays $100.

I was thinking of striking a creative finance deal

- Lease option for 5 years at around $700 - 800 per month and sub lease it at $1350. 

Will this trigger a raise in Property tax? Do you typically record Lease Options with the County? 

Also since this is a Condo is it typical to pay HOA and or Taxes on Lease Options?

-Brijesh