All new things, anything that passed through the legislation becomes effective July 1, including this new property tax that will affect residents of Northern Virginia.
Real estate (or property) tax is based on per $100 of assessed value (not resale value). Via Update (magazine for members of Northern Virginia Association of Realtors).
|City of Alexandria||$0.845 per $100 of assessed value|
|City of Falls Church||$1.03|
|Prince William County||$0.97|
|Town of Clifton||$0.92|
|Town of Herndon||$1.16|
|City of Fairfax||$0.79|
|City of Manassas||$$1.115|
|Town of Vienna||$1.1291|
Using the table you can figure out how much your property tax will be for 2009. The trick is to understand how each jurisdiction defines 'assessed value' for tax purposes. (So, if your up for a task, check out the county or town website of the area where you live for more information.)
For tax purposes, you probably hear or read something about 'the assessed value' when it comes to buying and selling a property, which has nothing to do with appraised value. These are two different things.
Appraised value is when your lender send an appraiser out to estimate the fair market value of a property based on the information available (or comps) and other related factors. The lender wants to know if you defaulted on your loan, how much will they get it back. Assessed value is when a local jurisdiction determine the value of your house - for tax purposes.
Furthermore, when an agent advertises in a listing that the house priced 'well-below' assessed values, the value refers to tax assessments and not how much it is appraised for.
Lastly, in addition to the increase in residential property tax, VA passed legislation which allows local jurisdiction to raise commercial property tax by as much as 25 cents on the dollar.