Comments on: New Construction Series: Taxes http://chitownliving.com/2007/11/15/new-construction-series-taxes/ Chicago real estate agent Jeff Kerr, blogs on Chicago Real Estate + Life Tue, 17 Aug 2010 09:03:16 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Peter A. Papoutsis http://chitownliving.com/2007/11/15/new-construction-series-taxes/comment-page-1/#comment-66539 Peter A. Papoutsis Mon, 18 Jan 2010 17:21:26 +0000 http://chitownliving.com/2007/11/15/new-construction-series-taxes/#comment-66539 What other factors are considered for tax proration of real estate taxes on New Condo Construction? Thank you. Peter A. Papoutsis What other factors are considered for tax proration of real estate taxes on New Condo Construction? Thank you.

Peter A. Papoutsis

]]> By: Edward Balcsik http://chitownliving.com/2007/11/15/new-construction-series-taxes/comment-page-1/#comment-12004 Edward Balcsik Fri, 25 Apr 2008 04:50:41 +0000 http://chitownliving.com/2007/11/15/new-construction-series-taxes/#comment-12004 Buyers and their attorney's need to pay special attention to what the property is assessed as. With new construction it usually does not make sense to base tax prorations on the prior years bill. It makes more sense to base on it on a percent of sales price. A reasonable fair percentage to use is 1.5 to 2.0 percent of the sales price. If an assessed value for the completed building exist, it makes more sense to base the tax proration on the assessed value for the building. There are many factors that could influence the proper tax proration. Thus it is important to due your diligence. Buyers and their attorney’s need to pay special attention to what the property is assessed as. With new construction it usually does not make sense to base tax prorations on the prior years bill. It makes more sense to base on it on a percent of sales price. A reasonable fair percentage to use is 1.5 to 2.0 percent of the sales price. If an assessed value for the completed building exist, it makes more sense to base the tax proration on the assessed value for the building.

There are many factors that could influence the proper tax proration. Thus it is important to due your diligence.

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