Two Letters Re: Development of Montana and Idaho Economies

Hi,
Just wondering if you could add something to your information on Montana and Idaho? Could you tell us a little about the differences in property taxes in these states. We live in Eastern Washington, and I have to tell you the property taxes are becoming a huge problem. There seems to be a move to get us all off of the open space or agriculture tax rolls if you are in the northern counties. We have considered a move to Montana. But this is one area we are not sure about. If we found a 40 acre farmstead in either state, could we afford the taxes in the future? Do you think it will stay stable there? Or will the “powers that be” force these new tax codes down Montana and Idaho’s throats as well? Thanks! – T.T.

JWR Replies:
You can find a property tax estimator for Idaho, here. The levy rates are based on where you live with any particular county. The rates tend to be substantially lower outside of city limits. As an example, I punched in a $200,000 value and a typical rural tax location code, and the calculator showed an annual tax of $1,113.21.

I didn’t find a comparable online calculator for Montana, but I did find this page. It mentions that in Missoula County (where a well-known fellow preparedness blogger lives), the average rate is $14.11 per $1,000 of value.) So that would be $2,822 for a $200,000 property. That is more than double the property tax rate of Idaho, but of course to compensate, there is no sales tax in Montana. And, needless to say, $14 per $1,000 is not nearly as much as what most people pay per $1,000 in many of the more populous states that also have a 6% or higher sales tax. For example the “sock-it-to-you” states of New Hampshire, New Jersey, and Texas have rates exceeding $18 per $1,000 of property value. (But at least New Hampshire, like Montana, doesn’t charge sales tax.)

 

Sir,
Do we really want economic development and tourism in these states?  Doesn’t that defeat the purpose of relocating to a low-population area?
 
Here’s what I predict will happen if the tourism and development boom the writer wants happens.  The yuppies will come to the area, fall in love with the scenery, and move there. Then they will complain about their neighbors, who have been there 50 years, saying they have “junk” on their property (meaning farm machinery), and they dare to butcher their own livestock and game!  Speaking of livestock, the manure really smells.  Pretty soon it’s “There ought to be a law against this…”
 
And the yuppies will demand all the “free” government services (paid for by taxation) that they had back in the big city.
 
When their population reaches a critical mass, they will have enough votes to raise the taxes and pass the laws outlawing a homesteading lifestyle.
 
Not to mention the population increase.  And they will drive up property values, making it unaffordable for people of modest means to move there, or to remain there.  The people who were there first will be taxed off their property.
 
People who want to make money in the American Redoubt states should think in terms of online and mail order small businesses.  Otherwise they will be bringing the Golden Horde into their retreat area.

JWR Replies: The majority of the new population influx appear to be conservative and pro-gun, so that is an advantage. Conservatives will continue to outnumber any liberal newcomers. And many of the liberal newcomers tend to have smaller families. The bottom line is that the demographics are on our side