Property Taxes and IncomesMay 3, 2019
The average tax return shows adjusted gross income of $65,800. The average American household spends $2,150 on property taxes for their homes each year. At over 3% of AGI, property taxes represent one of the largest single payments due annually.
Housing is the single largest monthly expense for most homeowners, and while much of that no doubt comes from mortgage payments, there are other costs, like homeowners’ insurance and property taxes, that contribute to the overall price of ownership. In fact, property taxes are a huge burden for countless homeowners, and in some parts of the country, they can easily exceed the cost of a mortgage payment itself. Take New Jersey, where, in 2015, the average property tax bill rose to $8,353 statewide. (The Motley Fool).
Property Tax Relief and Tax Credits in the District of Columbia (Office of Tax and Revenue)
District of Columbia property owners may be eligible for property tax relief. The District offers several programs to assist property owners and first-time homebuyers, including:
- Assessment Cap Credit
- First-Time Homebuyer Individual Income Tax Credit
- Historic Properties
- Homestead Deduction
- Individual Income Property Tax Credit
- Limited-Equity Cooperative Tax Fairness
- Lower Income Home Ownership Tax Abatement
- Lower Income, Long-Term Homeowners Tax Credit
- Metropolitan Police Housing Assistance Program
- Property Tax Deferral