Property taxes in a particular district are 4% of the purchase price of a home every year.
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Property taxes in a particular district are 4% of the purchase price of a home every year. If you just purchased a $250 000 home, what is the present value of all the future property tax payments? Assume that the house remains worth $250 000 forever, property tax rates never change, and a 6% interest rate is used for discounting.
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Related Book For
The Economics Of Money Banking And Financial Markets
ISBN: 978-0134376936
6th Canadian Edition
Authors: Frederic S Mishkin ,Apostolos Serletis
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