Originally Posted by
Lee Chowaniec
The great majority of Condominium 339-y recipients receive 50% tax assessment reductions. Using $250,000 as an average market value condominium style dwelling, that homeowner receives a tax assessment reduction in Lancaster of somewhere between 40-50%.
At 40%, the tax reduction amounts to $250,000 X .40 X $32 per thousand tax rate = $3,200 per year ($266 per month).
At 50%, the tax reduction amounts to $250,000 x .50 x $32 = $4,000 ($333 per month).
As someone who resides in a townhome complex that receives no 339-y tax reduction consideration, pays full taxes and is responsible for paying an association fee that provides for all services not provided by the town, all other maintenance fees, landscaping, snow removal etc., my association fee is much less than $266 per month and the cost for providing the services not provided by the town nowhere approaches the monthly association fee.
Too often 339-y recipients are receiving tax abatements that not only pay for the services not provided by the town, but for their entire association fee, and then some.
The patio home that Gorga referred to sold for $1.2 million and is assessed at under $700,000 – a $16,000 reduction in tax obligation, $1,333 per month. I think that covers the entire association fee; and then some.
Yes, condominium / townhome / patio owners pay taxes, too often not enough. That is why builders use the tax ploy to lure prospective homeowners into their purchase. That is why 50% of town development is now from the purchase of these units.