How Do Property Taxes Work?

Property taxes for California can get tricky for new homeowners. What are property taxes based on anyway? This video is everything you need to know about property taxes in California.

Just because your client is buying their house doesn't mean they will never have to pay money for it again. In fact, they will have to pay an annual amount of money for owning the property. This is called property tax.

Property taxes are based on the value of the property your homebuyer just bought. The property taxes are a small percentage of the value, so the higher the property value, the higher the property tax.

But, what happens when the value of your home increases dramatically over time? In those cases, will you have to pay an exorbitant amount of property taxes that might break your bank account? The answer is no. The most your property taxes can increase at any given time is by 2%.

This is thanks to Proposition 13. Proposition 13 limits the amount your property taxes can increase. That way, you aren't spending more money on your property taxes because the value of your home increases.

Chapters:
00:00 - When are property taxes due?
02:05 - What are property taxes based on?
02:25 - What is the property tax rate?
03:42 - Do you pay more taxes when your property value increases?
05:20 - This stops you from paying more in property taxes

#PropertyTaxes #CaliforniaPropertyTaxes #CalculatingPropertyTax

[robertcrawford]

Stop property taxes. Go back to taxing bonds and stocks.

[wasgood]

Please don’t stop making these videos it’s soooo helpful you guys don’t understand Robert Rico is the man

[rjbballer]

I LOVE THESE So educational in a short time!

[alexbearhayden]

This video had EVERYTHING I needed! Thank you 🙏🏽

[AmyLovett-zc]

Thank you so much for this video. Very instructive.

[ourfriendlyanimals]

That was highly informative. Thank you.

[imanjay]

Question!!?

So 1% tax paid yearly but collected in 2 separate months. Do you pay that 1% once in Nov. & again 1% in Feb?

Ex: million dollar home x 1% = 10k
10k in Nov. & 10k in Feb?
So together in less than 6 months i have to be ready for a 20k bill ???

Besides the county taxes we looking at other local taxes (municipal). Utilities maintaining repairs Isn’t just better to rent ?

[TheDukens]

That video makes me want to look for the cheapest houses ever

[coachingwithsuzette]

Why do we pay property tax? What’s our benefits?

[ChaseMilner]

Wow, what a great video!! Thanks for sharing so much great info about property taxes.

[Alexbk]

Wtf we have to pay every year on the value of the home?

[bfnew]

Really interesting video and very explained!

[Christian-ykgk]

Bro, you're literally a teaching legend 😂😂😂😂

[lisarobinson]

I Loved this Whole video, even the lighting. You were interesting and kept my attention. Thank you for this information 😊

[virginiacooper]

Why do I have to pay school taxes with small piece of land and no house is on it.

[dmitry.clarke]

This was so helpful! Keep making these!

[Architect]

Nice video sir, quick to the point knowledge 💯

[franklyn]

How does that work if home owner passes away and the property goes to there kids is it still 200+ the 2%

[Rcfun-dl]

How can you think that is normal? That means you dont own house.right? Im from a country that wants to tax hotels from rich people and that mean that will try to tax in few years us normal people.
I wonder how people of america didnot protest against theft?

[deathstramy]

“No darn foolin around” one guy fooled around his name was ted kaczynski