On average, Americans pay a little more than $1,500 per year in property taxes.
If you’re like most people, you’re probably eager to do whatever you can to figure out how to lower property taxes and minimize the amount of money you have to pay.
Taxes may be an inevitable part of life, but there are still things you can do to lower your annual tax bill.
Listed below are some tips that will help you to reduce your property taxes and keep more money in your bank account where it belongs.
Factors that Affect Property Taxes
Before we get into the specific ways you can save on your property taxes, it’s important for you to understand what affects the price of these taxes.
The following are some of the factors that play a role in determining your annual property tax payment:
- Value of your property
- Value of other properties in the area
- City, county, and school district budgets
- State and federal aid changes
- State and federal mandates
It’s true that a lot of these factors are outside of your control. That doesn’t mean you don’t have any say over how much you pay in property taxes, though.
How to Lower Property Taxes
There are a few different strategies you can utilize to reduce your property tax bill. Here are some steps you may want to take in order to pay less:
Review Your Property Tax Card
Take a careful look at your property tax card. If it has any errors on it, you could end up paying more in property taxes than is required. Errors are common, and even small mistakes can cause significant changes in your tax rates.
Do Some Research
Do some digging to find out the value of other homes in your neighborhood that are similar to yours.
Check to see if their property tax rates are similar to yours or if you’re paying more than them. This information will come in handy if you decide to dispute your property taxes.
Get an Independent Appraisal
If you think that you’re paying too much in property taxes, you may want to consider getting an independent appraisal. This will help you get a clearer idea of the value of your property. It costs more upfront, but it’ll be worth it if it helps you save money later on.
Contact Your Local Tax Office
According to BiggerEquity, it never hurts to reach out to your local tax office, either. Contacting them can help you get to the bottom of your property tax rates.
You’ll also need to work with them if you decide to file a dispute, so it’s a good idea to get in touch as soon as you can.
Lower Your Property Taxes Today
As you can see, there are quite a few different steps you can take to save money on your property taxes.
Now that you know how to lower property taxes, it’s time to take action. Keep these tips in mind so you can reduce your property tax bill and avoid paying Uncle Sam more than is absolutely necessary.
Do you want to learn more about saving money and managing your finances? If so, check out the other financial articles on our site today.