Hey BP, just looking to see if any of you have experienced a local, in my case county, land bank tax?
Its purpose is conservation and preservation, basically protecting various plots and parcels throughout the San Juan Islands. As a third generation local Ill be the first one for protecting and maintaining our beautiful and unique area.
However, its funding is a one percent real estate excise tax, or REET, paid by purchasers of property in San Juan County at the time of closing. They then buy anywhere from small lots in town to mountains with amazing views. These once taxable plots are now tax free and exempt from local taxes i.e E.M.S/FIRE/LAW, schools, roads, etc. which in turn drives the surrounding taxes up. As someone who is trying to INCREASE my portfolio it is starting to add up quick. Most frustrating is this is a 100% out of pocket tax, meaning the banks will not add it into the loan (or I haven't been able to get them too).
I have 3 properties in the San Juan's and I'm just under $10,000 worth of taxes to the land bank. And this is only within the last 5 years..
I have had no luck speaking with local agents besides the all to often, "yeah you and everyone else" remark I get when I voice my displeasure with the program.
So beside the obvious vent, I was looking to see if anyone else have had similar thorn programs and any words of wisdom in dealing with them?
Thanks for taking the time to read this.
Doug
