February 5th, 2008 categories: Condo Knowledge
Can your condo get a homestead exemption? How much is it and how is it done? If your condo is your primary residence you can claim a homestead exemption of $75,000 which will lower your taxes by a certain amount. All the parishes have different rates so it will be different for each parish and even different within the parish depending upon the millage rate. Once you have the sale on the condo you will need to file for yours ar the local assessors office. Each parish has its different rules and regulations but remember to do it, so you will not forget. Most times the sale has to be recorded before filing.
For example the millage rates for the city of New Orleans is .12920 for 2008 with small variations in some districts. Its worth $969 in the City of New Orleans and a little less in Jefferson, St. Charles and more in St. Tammany. Its up to you to file in a timely manner because getting tax money back is a process devised in someones mind who resided in an asylum. It is not fast either. Much unlike getting a traffic ticket or being towed to the pound where the payment is demanded instantly.
Where to file? Call your local assessor for the answer. In Jefferson and Orleans the paperwork will have to be done before filing which takes at least 5-6 weeks, then you will have a recorded copy sent to you by the title company. Your assessment will be based on your sales price in following years and reassessed on by unknown process as property values rise. Once you have taken the 75k off the sales price you can then multiply that number by the millage rate to figure your taxes. pay 275k minus the 75k, its 200k times the .12920 and your bill will be $2584. You can deduct that form your sate and local taxes. The City of New Orleans collects at the beginning of the year for taxes in that year. In the rest of the parishes its in arrears. Most lenders will collect this in your monthly notes. Check this link for a breakdown in the parish rates.
Maid of Orleans in the New Orleans French Quarter.