How do you prorate real estate taxes?

Prorating real estate taxes involves calculating the portion of taxes owed based on the period of ownership during the tax year. To do this, divide the annual tax amount by the number of days in the year to determine the daily tax rate. Then, multiply the daily rate by the number of days the property is owned during the tax year. This ensures that the seller pays taxes only for the time they owned the property, while the buyer is responsible for the remaining portion.