What are the taxes on this property? How much do we have to pay? We are from Spain and we never bought a property in Los Angeles, CA before?
Interestingly not only foreign national buyers are unfamiliar with the answer to this question, but too many local Los Angeles home buyers are not familiar with it either. Hence you can imagine this is a very important question to get answers to for local as well as international buyers.
The short answer is: approximately 1.25% of the purchase price is a safe high number to quote in Los Angeles. Just to give you an idea the atypical California property tax consist of many different taxes.
The primary one everyone focuses on, is the 1% of the Purchase Price of the property. Then there might be Mello-Roos taxes, as well as assessments and voter approved debt rates. Hence a safe answer is that the California Constitution determines how properties are assessed for tax purposes. They are based on the purchase price and adjusted upward each year by about 2%.
Now this is strictly for Los Angeles County, keep in mind other Counties have different local variations of the taxes. Hence, I can only speak for Los Angeles County, since I am only familiar with it.
Just imagine with our high price points how much revenue property taxes create for the local communities as well as for the State. The money is very hard to fathom for the rest of the country, they are collecting over $50 Billion dollars annual and that is a very conservative figure.
The last time I remember checking the amount they collected was around 2011, because I was curious, since the politicians were complaining that the Real Estate and economic downturn has really had a major impact on the state coffers. You can imagine what astronomical amount,they are getting now days.
If you are considering buying or selling a home, a luxury home, luxury investment real estate, luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu, feel free to contact me at 310.486.1002 (m) or firstname.lastname@example.org or visit one of my websites at http://www.endrebarath.com. I am a Pet Friendly Realtor and I contribute a portion of my commission to local animal rescue organizations.