RUTHERFORD COUNTY, TN - A REIT, or a Real Estate Investment Trust, is often formed by a publicly traded company that buys thousands of properties across the country to turn into rental units for investment purposes. REIT's are purchased to generate income for its investors.
About one week ago, Rutherford County Mayor Joe Carr told WGNS listeners... However, Rutherford County Assessor of Property Rob Mitchell said... Mitchell further stated... However, the Mayor told WGNS that he got the number of REIT homes from an article that Mitchell wrote last year in an online platform called the Tennessee Lookout.
Meanwhile, the Mayor contends that the billion dollar corporations that own collections of single family homes as an investment, need to be charged the same tax rate that commercial apartment complexes are charged... But the assessor of property said that would not be legal under current law in Tennessee. Mayor Carr said a a 2017 opinion released by the Tennessee Attorney General suggested otherwise (click here). Carr also said the Supreme Court further confirmed it is constitutionally permissible to tax income producing property at a higher tax rate than owner-occupied residences.
Mitchell said local residents who own one, two or even ten single-family homes as rental properties would be badly burdened if they suddenly had to pay almost double in taxes for their investment...
Regardless of how many REIT properties are in Rutherford County, the property assessor suggested that charging the owners a higher tax rate would amount to little... All said, the collection of REIT homes in Rutherford County and beyond are a popular topic of discussion right now, but not so popular when it comes to that collection of homes making rental property more expensive.