Part 5 Advanced Direct Capitalization Flashcards
1
Q
Property taxes
A
Assessed value × Tax rate
2
Q
Assessed value
A
Market value × Assessment ratio
3
Q
Effective tax rate
A
Actual taxes/Market value
or
Assessment ratio × Tax rate
4
Q
Loaded capitalization rate
A
Overall capitalization rate + Effective tax rate
5
Q
A 3.25% tax rate is equal to x mills.
A
32.5
6
Q
Tax rate
A
Mill rate / 1, 000
7
Q
A
