What is the assessment ratio for residential investment property?

The assessment ratio for residential investment property in Arizona is set at 10%. This figure is crucial as it directly impacts the assessed value of real estate for tax purposes. When calculating property taxes, the assessed value is determined by applying the assessment ratio to the property's full cash value. Therefore, if a residential investment property has a full cash value of, for example, $200,000, the assessed value used for tax calculation would be $20,000 (10% of $200,000).

Understanding the assessment ratio is essential for real estate professionals and investors in Arizona since it affects tax liabilities and overall investment returns. The other options reflect assessment ratios that may pertain to different types of properties or specific contexts but do not apply to residential investment property in Arizona.