Question

Ivan has purchased a home with an assessed value of $146,000. The property tax rate in his area is 1.6%. What is his monthly tax payment?

Answer 1

Answer: Ivan's monthly tax payment is $194.67.

The property tax rate is usually the property tax rate for an entire year.

We calculate the property tax in dollar terms as follows:

`Property tax in dollars = Assessed value of the property * Property tax rate`

`Property tax in dollars = 146000 * 0.016 = 2336`

Since $2336 is the property taxes for a whole year, we calculate monthly taxes as
`(2336)/(12) = 194.667`