Overview
When a property sells for more than its county-assessed value, your client's future tax bill will likely increase. Deal Details provides two tax rate calculations in every property card: one based on the county market value (CMV) and one based on the sales price or estimated value. This dual-rate view helps you project realistic tax scenarios and set proper expectations during the loan process.
Before You Start
Requirement | Details |
Active loan scenario | Open an existing deal with property information populated |
Property data loaded | Property must have tax information pulled from national data sources |
Step-by-Step: Locating Tax Rate Information
1. Open the Property Card
Navigate to your loan scenario
Access the property details section
2. Scroll to the Property Tax Information Section
Locate the area containing tax data pulled from Deal Details' four national data sources
3. Review the Available Tax Fields
Field | What It Shows |
Tax Year | The year the property tax bill applies to |
Tax Amount | The actual dollar amount of the property tax bill |
County Market Value (CMV) | How the county has assessed the property's value |
% of CMV | The tax amount expressed as a percentage of the county's assessed value |
% of Sales Price/Estimated Value | The tax amount expressed as a percentage of the listing or purchase price |
Understanding the Two Tax Percentages
Percentage of County Market Value (CMV)
This shows what portion of the county's assessed value goes to property taxes. For example, if a property is assessed at $372,700 and taxes are $2,981, the rate would be approximately 0.8% of CMV.
Percentage of Sales Price or Estimated Value
This calculation uses the actual listing price or purchase price instead of the county assessment. Since homes often sell for more than their assessed value, this percentage will typically be lower than the CMV rate.
⚠️ Important: The county assessed value and sales price are rarely the same. A property assessed at $372,700 might be listed at $425,000. Use both percentages to help clients understand potential tax increases after purchase.
Using Tax Rates for Client Conversations
When the County Value Is Lower Than Sales Price
Scenario | How to Use the Data |
Estimating future taxes | Apply the CMV percentage to the purchase price for a rough projection |
Setting expectations | Explain that reassessment after sale may increase the tax bill |
Comparing properties | Use the sales price percentage to compare tax burden across listings |
Example Calculation
If a property has:
County Market Value: $372,700
Tax Rate (% of CMV): 0.8%
Sales Price: $425,000
You could estimate potential future taxes by applying 0.8% to the $425,000 sales price, giving the client a more realistic picture of what they might pay after reassessment.
Finishing Up / Next Steps
1. Document your findings
Note both tax percentages in your client communications
Use the higher estimate when setting escrow reserves
2. Factor into loan calculations
Consider potential tax increases when calculating total housing costs
Adjust escrow estimates based on projected reassessment
Quick Reference
Open Property Card → Scroll to Property Tax Section → Review CMV % and Sales Price % → Use CMV % to project future taxes on purchase price
Tips for Success
Compare both percentages to understand the gap between assessed value and market value in that area
Use the CMV percentage as your multiplier when estimating taxes on the actual purchase price for a conservative projection
Check the tax year to ensure you are working with the most recent available data
Explain the difference to clients so they understand why their taxes may increase after closing
Related Topics
Setting Up Escrow Accounts
Property Data Sources in Deal Details
Loan Scenario Calculations