Patrick Rumore - The NJ Homeowner’s Guide to Lower Taxes and Better Living

And yet, because we are used to taxes, we rarely ask the same questions we would ask if that same amount were going into a savings account. A Realistic Example of Long Term Loss Imagine two homeowners. Same income. Same lifestyle. Same size home. Same goals for the future. Homeowner A lives in a town where taxes are 30k per year. Homeowner B lives in a comparable town where taxes are 18k per year. Both homes might be beautiful. Both towns might be wonderful. But the difference in yearly tax burden is $12,000.00 or $1000.00/month.

Now multiply that by time.

$12,000.00 Times 10 years $120,000.00

Times 15 years Equals $180,000.00

Times 20 years Equals $240,000.00 (Just shy of 1/4 million dollars)

This is money that could have been used for: • Paying down the mortgage faster

• Renovating the home • Investing in retirement • College savings • A second property