Wednesday, September 1, 2010

Fisher's enacts another hidden tax.

Charlie White proudly says “We continue to look for new, and sometimes innovative, ways to generate revenues; especially those that do increase the burden on existing residents.” Now how dumb does Charlie and the others on the Town Council think we all are. An impact fee on a new home being built means a 20-30 year tax on the people moving into that home. Do any of you think the developer is going to absorb that fee out of the goodness of their heart? Give me a break.

Here is how this no tax works, for the average home the road and bridge fee is $2,275.29. Add 15% to that for the builder’s overhead and it is now $2616.58. Now add that your mortgage for 30 years. The median home price is $200,830. So lets add the tax to that amount and the median now is $203446.58. What does this do to the home owner, first it raises how much they have to put down as their down payment on the purchase and then they have to pay this fee over the life of the mortgage.

So here are some numbers on our $200,000 home, which is now our $202,275. Home.

Purchase price Down payment 30 year 5% mortgage Total Paid
200,000 40,000 858.91 $309,207.60
202,275 40,455 868.68 $312724.80

So now our $2275.29 tax becomes $3972.20. Actually it is a hidden property tax but the Town leaders want you to believe you have the lowest property tax around. Nice they get the developers and the banks to collect their tax for them. On top of that they continue to make you believe you are not paying a higher property tax.

Oh by the way, Charlie is very wrong, you see most of you living in Fishers had to also pay an impact fee when you built your home, so you are also paying this hidden tax via your mortgage. So it is not just a new fee on new homes. Buying an older home, that fee is in the selling price, it just won’t go away. Just another one of Fishers hidden taxes to make you think your property taxes are low.

Approved by Weingarten for 29th District State Representative

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