Answers for your Oregon property tax questions
We often hear questions about the Oregon property taxes. Without trying to be technically perfect in the answers, here's a broad brushstroke to make it clearer:
How are property taxes determined?
Simply put, it's tax value x tax rate = tax amount. But that begs the next two questions:
How do they get my tax value?
When a home is built, the county assessor assigns a value correlating with market value at the time. Often, it's below true market, sometimes significantly, like 20-30% below. Over the years, taxable value meanders upward based on neighborhood trends and improvements done. By Oregon law, your taxable value can't rise more than 3% per year unless you improve the home, for example by adding on. Oregon is one of a few states where tax values don't reset to the purchase price, so over the years, the wandering effect can compound as some homes get improved and others don't.
How do they get my tax rate?
You and your surrounding neighbors often have the same tax rate, based on all your local amenities and services (schools, parks, roads, etc.). Your annual tax bill gives an accounting of all the small percentages for public services, local options, bond levies, etc. For more, visit: www.oregon.gov/dor/programs/property/pages/property-taxes.aspx.
I tell people you're going to fall in love with something. All you can do is hope to get lucky and fall in love with a home with lower taxes. Call any time with your real estate questions!
Hasson Company Realtors
15400 SW Boones Ferry Road
Lake Oswego 97035