How to estimate property taxes - Jacksonville Fl

[Garrett Masiulis]

I am looking for and analyzing property in Duval and Clay county in Jax, FL. When estimating property taxes, I am pulling the previous year taxes from the county website. However, the properties are homestead which means the taxable value equals assessed value less 50k, right? As an investor, the property won't be homestead so I need to add back 50k to taxable value and estimate taxes based on it, correct? Just want to be sure I understand this part of the analysis before submitting any offers. Thanks in advance!

[Joey Hamaoui]

For taxes in Duval and most of Clay county you can use the following formula and it is usually pretty accurate. This is what we use:

(Purchase Price * .92) * .01865 = Annual Taxes

The theory behind it is we take about 92% of the Purchase Price which is usually still a bit high for tax appraised value but we like to be conservative. Then we multiply that value by the millage rate which is usually .01865. 

I will also look at the tax record to see last year's taxes if our number seems off. 

Hope that helps.