Taxes for investment properties in Columbia SC

[Christopher Tinsley]

I was doing some research on the taxes in Columbia SC and the 4% for owner occupied and 6% for investment properties and then the millage rates. I was wondering if anyone would be able to share their numbers or a good example how this effected them in their investment and how badly this could change the cash flow for the property especially if it is an investment and not owner occupied. I'm trying to decide before I buy what kind of property I need to look at in order to be able to account for the tax rate.

[Dave Toelkes]

@Christopher Tinsley

Assessment ratio is 4% for owner occupied and 6% for non-owner occupied property.

Assessed value = Market value x assessment ratio

Property tax = Assessed value x millage rate.

Millage rates vary by county.  Under SC state law, property is reassessed every five years.  Not all counties in the state are on the same schedule.  Addtionally, you may trigger a reassessment when you purchase the property.

For your purposes, use your tax assessor's estimate of market value to estimate the property taxes, understanding that the tax may change next year when your purchase triggers a reassessment. 

Note that Market value is not the same as appraised value, but rather, the tax assessor's estimate of value which may be based on average sale comps in your market in the previous reassement year.