We all know that home prices are up in Idaho. They are up 2.5% year-over-year in September but the number of homes sold fell 30.9% with the number of homes rising to 9.7%, according to Redfin.com with a median home sale price of $472,900. As someone who recently moved here from Nebraska there is some sticker shock when looking at purchasing a house compared to Lincoln, which also has a very hot real estate market.
One of the biggest things you should be thinking about when purchasing a new home is the property tax.
HomeAdvisor.com went ahead and "found out how property taxes are projected to increase one, five, and ten years in Idaho".
Tax.Idaho.gov says that "There's no legal limit to how much any property's tax bill can increase or decrease. But each taxing district can raise property tax portion of its budget by no more than 3% unless one or both of these apply" Voters approve increase to property tax revenue or taxing districts apply new construction or new annexations.
Here's what property taxes could look like over the next 10 years in Idaho:
Idaho has a Real Estate Property Tax rate of 0.66% with a median property tax payment of $1,553. In 1 year that could increase to $1,850, in 5 years $3,540, and 10 years to $5,088.
Over the next 5 years Idaho is predicated to see the highest increase in the country when it comes property taxes of anywhere from 120% - 139.9%.
HomeAdvisor also included how much to budget in household income for property taxes and that property taxes could cost almost the same as college tuition, international travel, a bathroom remodel, and building a deck.
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