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Fiscal Cliff and Property Taxes


Christmas is not the only thing coming in these December days.    So is the ending of various tax cuts that some are calling the “fiscal cliff”.    While perhaps I am on a slippery slope bringing up this because it concerns politics, all real estate investors have a vested interest in the discussion whether they be Republicans, Democrats, Independents, or unaffiliated.    While I am not a tax expert, my tax professional tells me that one of the ways the “fiscal cliff” could impact real estate investors is on the capital gains tax they pay when they make a profit on the sale of real estate.    If the current tax laws expire this month without an agreement, real estate investors will be paying more  in capital gains taxes when they sell  a property.  If you have thoughts on this issue, please be in touch with the office or your senator or congressman.

Speaking of taxes, don’t forget that you only have weeks till your property taxes are due for 2012.    Whether you are a real estate investor or simply a homeowner , it is your responsibility to see that they are paid even if taxes are paid out of esgrow through your mortgage lender.    If your taxes are paid out of esgrow, make sure your mortgage lender has your property tax information by being in contact with them.   

Have a great week.--  Randy Wall, Lora Lee Properties   

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