How are property taxes calculated for condos?

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asked Mar 24 in Real Estate - Renting by Macpavric (680 points)
How are property taxes calculated for condos?

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answered Mar 24 by Minmocatfood (6,160 points)
Property taxes on condos are calculated and determined by multiplying the actual value times the assessment rate times the mill levy.

The assessment rate on residential properties is 11.5%.

The assessment rate for commercial and industrial purpose is 25%.

The assessment rate is fixed by law and is the same statewide.

Property Taxes on a condo are typically lower because you're paying for the cost of the condo in taxes and not the property that a house would sit on.

The amount of insurance you should have on your condo depends on the price of your condo.

For example if your condo costs $400,000.00 then you should have a condo insurance policy that covers at least the $400,000.00 of the condo although more insurance coverage is better if you can get it.

Calculate the estimated value of property insurance.

Generally, the cost of insurance can be estimated by dividing the home's value by 1,000, then multiplying the result by $3.50.

For example, on a house value of $200,000 the cost is $700 annually.

Condo Insurance does cover appliances that were damaged due to lightning strikes, flooding or other damage.

However condo insurance does not cover appliances that go bad other ways or fail due to old age.

Condo fees usually include upkeep of the building, upkeep of the landscape, trash, roof repairs, maintenance, heat, water, sewage, garbage, electricity and sometimes cable TV.

The monthly cost for a Condo depends on the Condo you purchase and the location it's in.

Condos in more desirable areas will be more expensive than Condos in less desirable areas.

A monthly mortgage payment for a Condo can cost from $3,000.00 to $5,000.00 per month or even more depending on the condo.

Then you also have other Condo Fees that range in cost from $100.00 to $700.00 per month.

Condos are a good investment as they typically have a lower purchase price and are in pretty desirable locations.

Most often a condos selling price will increase overtime when it's in a really desirable location such as by or near the beach.

The ho6 condo insurance is basically a condos and homeowners insurance for people or a person who owns a condominium or co-op unit.

As a condo or co-op unit owner, you own and are likely responsible for damages to your unit.

Walls in coverage for condos is a condo insurance policy that refers to real property coverage from the exterior framing inward, including fixtures.

However the Walls in coverage does not include alterations, appliances or other property types contained within the walls of a condo unit.

Condos do need homeowners insurance but condo insurance is called condo insurance.

So when you buy a condo you want to also purchase a condo insurance policy to protect your investment into the condo.

If you own a condo you should get condo insurance to protect the condo you bought.

Condos are expensive and if something were to happen to that condo and you didn't have condo insurance then you would be at a loss from that money.

It's always best to have condo insurance just like it's best to have homeowners insurance as well.

Condo Insurance is necessary in order to protect the condo you're buying.

While the condo building itself has insurance on it to cover the cost of the damages to the building it won't cover cost to the damaged condo that you own.

That is unless something happened to the condo from the building failing or something.

As a condo owner you want to have condo insurance although you're not required too if you own the condo but it's a good idea to carry and have a condo insurance policy.

In some cases Condo Insurance covers mold damage depending on what caused the mold.

Condo insurance will sometimes cover the mold damage depending on what caused the mold.

if the mold in the condo was caused by a flood then condo insurance will usually not cover the cost of the repair due to the mold because of flood damage.

However if the mold was caused by something such as a burst pipe that caused the mold then condo insurance might pay for it.

If there was a leak on the roof of the condo that caused mold in your ceiling or walls then the main insurance policy of the condo should cover the cost of any mold repair.

Yes homeowners insurance is cheaper for a condo than it is for a house.

The reason that homeowners insurance is cheaper for a condo than a house is because with a condo the main condo building has a separate homeowners insurance policy that covers the building itself and common shared areas of the building.

So when you have a condo instead of a house you only need condo insurance to cover the condo inside the building that you're living in.

The rest of the building has insurance that is paid for out of the condo fees you pay.

So yes in a way the condo insurance is cheaper than homeowners insurance but because you're paying condo fees it may not be actually cheaper.

However with a condo your water bill, electricity, sewer, trash etc are usually paid for out of the condo fees as well.

Condo fees do include insurance on the condo but the insurance that the condo fees includes and pays for is just for the insurance for the main building and not your own condo.

When you pay your condo fees some of the condo fee you pay goes towards a homeowners insurance policy for the condo that pays for the exterior of the building as well as shared common areas of the condo building.

But the condo fees do not include insurance for your condo itself.

That means that if you want insurance coverage for your condo that you're living in then you would need to purchase a condo insurance policy yourself.

Because if something happens to the building your condo is in then your condo won't be covered or any of your personal belongings etc.

So you should get condo insurance whether it's mandatory or not.

If you have a mortgage on the condo you're buying the bank will require you to have condo insurance.

If you have a mortgage on the condo then yes condo insurance is mandatory.

The bank that holds the mortgage for the condo will require you to have condo insurance to protect the condo you're buying.

However if you have the condo paid for and have no mortgage on the condo or you pay for the condo in full without the bank then you are not required to have condo insurance.

The condo fees that you pay cover the actual building and property as well as hallways etc that the condo is built into.

But the condo insurance you have pays for damages to your personal condo or any damage from water etc that damages your condo.

Having condo insurance is highly recommended though to protect your investment into the condo should something happen.

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