Does adding a second floor over a ranch's existing foot print still raise taxes?

Someone told me that if you have a ranch and add a second level, that as long as you stay within the basic footprint, your taxes would not change.

Is this true? I do not believe it, b/c you are adding sq ft/living area to your home and would therefore have to be taxed on it.

So what do you know about this?
Thanks

Message edited 10/8/2007 11:17:04 PM.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

that is false. My DH is architect and i just asked him.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

It's not true, my next door neighbors did this and their taxes went up.
You are right, you are increasing square footage so there is more living space, therefore taxes go up.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

Living space is taxed, so even converting a garage or basement to living space increases taxes (if it's legal and the town knows about it... )

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

It will be taxed but I believe at a lower rate than if you increase the footprint.

I was able to submit a very short proposal to my town of what I planned to do and they sent me back an estimated tax increase. It really helped us decide how to expand.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

Your taxes will increase - no ifs, ands, or buts!

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

I believe the theory is, tax wise, its cheaper to go up than increase square footage on the ground. Why, I'm not sure, but this is what I've heard from both home owners and contractors. This is supposedly the reason that taxes on a ranch are usually higher than a comparable colonial.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

Thanks all. Makes sense to me.

Re: Does adding a second floor over a ranch's existing foot print still raise taxes?

Posted by GoldenRod

Living space is taxed, so even converting a garage or basement to living space increases taxes (if it's legal and the town knows about it... )