Buying Your Home - Property Taxes
Tax Deductions on First and Second Homes
Mortgage interest and
property taxes are deductible on first and second homes if you itemize. Check with your
accountant or tax adviser for specifics.
How do Property Taxes Work?
Property taxes are what most
homeowners in the United States pay for the privilege of owning a piece of real
estate. In the Louisville, Kentucky area, an average amount for a property tax bill is a little over 1.3 percent of the property's assessed value. These
annual local assessments by county or local authorities help pay for public
services and are calculated using a variety of formulas.
Most Louisville home owners pay their property taxes through their escrow account, which is set up with their mortgage company. That way, the Louisville home owner does not have to come up with the large sum when the tax bill is due. In Louisville, property taxes are paid in arrears and are due close to the end of the year.