Calculate tax increment financing (tif) for real estate investments and properties
Enter base property value, projected improved value, and tax rate. The calculator shows annual TIF increment and cumulative capture over bond term.
Base value $50M, improved to $200M, at 2% tax rate generates $3M annually in TIF for 20 years = $60M for infrastructure.
Tax Increment Financing - economic development tool that uses future property tax increases from improvements to finance current infrastructure and development costs.
Developers get infrastructure funding, cities get development without upfront costs, and community gets economic growth. Controversial as it diverts tax revenue.
Typically 15-25 years. After TIF expires, all property tax revenue goes to normal taxing bodies at higher improved valuations.