Property Taxes & Improvements--How Do I Know I Can Afford Them?
How do I know if I can afford to make an improvement? I'm buying a fixer-upper house that already has very high property taxes. It is plumbed for three bathrooms but they are just empty rooms right now. I don't need three bathrooms so if it was going to raise my taxes much higher, I wouldn't even bother putting them all together. I called the tax man and all he could tell me was, "Things like that don't raise your taxes very much. Now if you added a room..." I'd like to have a better idea of what "much" means. Another example: we were thinking that if we get this house, we might look into turning one of the outbuildings into a little apartment to help with the taxes. But would the raise in the taxes due to the improvement cancel out any money earned by having the apartment? Do they have set values for improvements? The tax man didn't seem like he wanted to talk to me at length because I don't own the house yet. The taxes are high enough already ($6700.) so I can't make a mistake. Thank you.