Why would property tax be reported as much lower on the listing?

[Mark F.]

Hi guys and gals!

I'm new to the NJ area and looking to get back into RE buy and hold, current AD coastie. I have a vet realtor who's like minded on the buy and hold strategy. Question that I haven't gotten a lot of clear answers on.

Currently looking at a place in Hudson county selling around $500k 4 unit. The property taxes are listed on the listing at just under $7k for 2017 land $75k additions $25k. What is going on here exactly??? I've done the calculations and even appraising it at $12k (2.234% average property tax for Hudson) still puts me cash flowing but still. I'm just curious. I'm definitely brand new to the property tax world as I was a landlord in Florida where property taxes weren't an issues. Thanks for the help!

Mark

[Jessica Zolotorofe]

Hi @Mark F., so Union City has an equalization ratio of 36.69%. So the assessments you see on the tax card or online are only 36.69% of what they believe your property value is.