Question

If the tax rate on homes in Topeka, Kansas is 1.8 percent of their value and Bonnie owns a $100,000 house, how much will the real estate taxes add to her monthly mortgage payment?

the real estate taxes add to her monthly mortgage payment?

Answer 1

$150

Explanation:

Annual Real Estate Tax Rate =1.8%

Value of Bonnie's House = $100,000

Annual Tax= 1.8 % × $100,000 =0.018 × $100,000 = $1,800

Therefore, tax payment on a monthly basis

= $1,800÷12 Months

= $150 per month.

Real estate tax will add $150 per month to Bonnie's mortgage payment.