Related To Story PROPERTY TAX CRISIS
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Group: Renters Hurt By Property Tax Increases, Too
Apartment Association Wants Reform
POSTED: 11:45 pm EDT July 20,
2007
UPDATED: 11:50 pm EDT July 20,
2007
INDIANAPOLIS -- Homeowners facing huge property tax increases aren't the only people clamoring for reform.An industry group says apartment operators pay a disproportionate share of property taxes, and with bills jumping statewide, apartment residents are likely to notice a bump in their rent."The largest uncontrollable expense in an apartment community for an apartment owner is the property taxes. So, as property taxes increase for the owner, it could have an effect on rent," the Indiana Apartment Association's Lynne Sullivan said.
Marion County this month saw several rallies by homeowners pleading with officials to stem the rise of property taxes. But Gary Ritz, of Paragus Properties, said renters should be concerned, too.Ritz said one-third of Indiana residents live in rental properties. Like Sullivan, he said they will see tax increases passed to their rent bills."We'd like to see a system that's fair to not only the homeowners, but also to the rental properties," Ritz told 6News' Rick Hightower. "We'd like to see a system that is predictable so we have some idea from year to year what our real estate tax obligation will be."On Friday afternoon, a few dozen people attended an IAA rally outside Indianapolis' City-County Building. The group said the rally was smaller than expected, probably because Gov. Mitch Daniels just two days earlier ordered a reassessment for Marion County and temporarily froze tax bills at 2006 levels.The IAA said it liked the order, but it said long-term tax reform still is needed. Sullivan said apartment operators haven't been treated well in the state's previous attempts to reform property taxes."In the past, when there has been reform on property taxes, the rental housing industry has been a little left out, and we've picked up a larger share of the property tax burden than any of the residential classes. So, we want to be heard," she said.People who rent out houses also are feeling a property tax pinch. David Fishburn, who owns more than 80 Indianapolis-area rental homes, said he is glad that Daniels temporarily froze Marion County's property tax bills. Had the governor not made the order, Fishburn would have paid $30,000 more in property taxes this year than he did last year.Fishburn said those increases would have forced him to give some of his tenants a rent increase of $100 per month."As I pass increases to my tenants, because of their fixed incomes and their money problems, it's causing them to become wards of the state or even homeless," Fishburn said.
Previous Stories:
- July 19, 2007: Marion County Tax Payment Deadline Delayed
- July 18, 2007: Homeowners Hope New Assessment Just The Beginning
- July 18, 2007: Daniels Orders New Marion County Assessments
- July 18, 2007: Tax Bills Put Residents On Edge Of Foreclosure
- July 17, 2007: Daniels Rips Some Marion County Assessors
- July 16, 2007: House Speaker Floats Tax Relief Ideas
- July 16, 2007: Protesters Vow To Continue Property Tax Fight
- July 14, 2007: Daniels Proposes Tax Relief Options
- July 13, 2007: New Property Tax Chief To Probe 'Suspicious' Assessments
- July 12, 2007: Governor Leans Closer To Indy Assessment Redo
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