^ Well?


How can I find out if my property taxes are based on my home's actual market value vs a percentage of the property's worth?

[Edited on November 30, 2007 at 10:56 AM. Reason : stupid new page]

11/30/2007 10:55:58 AM

Market value takes into account whether the house has hardwoods or 14 year old carpet. Market value takes into account whether or not the appliances convey. Market value takes into account whether your yard is has a well manicured lawn with nice landscaping or red clay as far as the eye can see. Market value is what you can get someone to pay for your house.

Tax value can be thought of as an average of recent market values. It would cost the city and county millions of dollars to go into every house and try to assess it's true market value. Instead they look at recent sales in that neighborhood, put a rough estimate on the value of the land, and put a rough estimate on the value of the house on a dollars per square foot basis. Some houses might have sold for $95/square foot and others might have gone for $130/square foot. If it averages out to $115 per square foot then obviously some people's homes will not be worth $115 and others will be worth more than that. It's the only reasonably feasible way for them to do it though.

Quote :

"So, why should you pay taxes on 340 when you can't sell it for 340?"

To answer your question...Because that's the way it works. We could spend $millions+ trying to make it more "fair," but we would all lose in the end.

[Edited on November 30, 2007 at 11:16 AM. Reason : s]

11/30/2007 11:14:49 AM

I'm confused again. Am I or am I not taxed on the market value?

11/30/2007 11:23:39 AM

^i just got my market revaluation and i'm pretty darn sure that's what i'm taxed on. i'm no expert, but i'm being taxed for the value which is a good bit more than what i paid in september.

11/30/2007 11:37:00 AM

you know you can dispute your new assessment

11/30/2007 12:23:58 PM

You know you can read page 18.

11/30/2007 12:40:03 PM

Quote :

"I'm confused again. Am I or am I not taxed on the market value?"

What is so hard to understand? Wake County has no idea if your home has hardwood floors, custom cabinets, and granite countertops, but they are all factored in when you try go guess at the market value of your home.

Tax value is a quick and dirty estimate of market value, but it's not market value. The market is not going to be very kind to a home that hasn't had any work done since 1973. People who just dropped $100k on a new kitchen and $75k in additional renovations might have a home worth much more than tax value.

[Edited on November 30, 2007 at 12:40 PM. Reason : s]

11/30/2007 12:40:12 PM

Quote :

"Tax value is a quick and dirty estimate of market value, but it's not market value."

I received a document in the mail about my reaccessed MARKET VALUE. You are saying this has nothing to do with my property taxes for next year?

11/30/2007 12:45:02 PM

hey so this is gonna go on for like another 9 months at least right? i would think this makes it a "buyers" market cause so much shit is going down in price...

11/30/2007 12:49:47 PM

Quote :

"I received a document in the mail about my reaccessed MARKET VALUE. You are saying this has nothing to do with my property taxes for next year?"

They can call it market value, but like I mentioned before it is not a true market value. It is an estimate that doesn't take very many factors into account. That is your new tax value and it has everything to do with your property taxes next year.

11/30/2007 12:55:14 PM

you must live in Durham... I got reassessed as well I need to find last years taxes and find out how much they increased it


http://www.durhamcountync.gov/departments/txad/Documents/2008_Reval_Durham_brochure.pdf

[Edited on November 30, 2007 at 1:01 PM. Reason : revaluation]

11/30/2007 12:59:22 PM

Quote :

"They can call it market value, but like I mentioned before it is not a true market value. "

So, shouldn't I be able to appeal and get it changed to the true market value?

11/30/2007 1:09:04 PM

It may not be worth it, unless it's egregiously wrong. Anappeal requires an appraisal be done as part of the documentation...then the tax folks will review and decide, and the possibility of several iterations. The cost of the appraisal alone could wine up costing more than your tax increase, and even if you win, it may take a couple of years to break even on your costs, much less your time.

11/30/2007 1:28:19 PM

I wasn't planning on getting an appraisal. I was just planning on showing how you could buy an identical brand new house in the exact same neighborhood for less than what they say my house is worth.

11/30/2007 1:35:24 PM

^if you can prove that, i'd do it. i got a great deal on my house, so it appraised for more than what i paid before it was even finished (with hardwoods, granite, etc). i think i could sell my house for more than my "market value" and i could probably show that the same house could be purchased at a lesser price now, but the slim chance of them agreeing with me and the time it would take isn't worth it in my case.

it is definitely the amount you will be taxed for though, regardless of if you can sell it for more or less...if it's significantly more than you think it should be, by all means appeal.

11/30/2007 1:45:16 PM

Maybe i'm missing something but why would someone buy yours for more than market value if "the same house could be purchased at a lesser price now?"

11/30/2007 3:58:07 PM

^less than the reassessed market value. i bought my house for x, now it's worth x+10, but i suppose you could buy a similar house for x+8 in the same neighborhood.

the reason i say that is because there are several houses that were built for buyers that backed out. due to the specific options, they've had to drop prices significantly to try to sell them since they aren't custom for the homeowner. does that make sense (i may not be explaining it very well)?

[Edited on November 30, 2007 at 4:04 PM. Reason : //]

11/30/2007 4:03:08 PM

so they lowered the price because the new homeowner wasn't able to pick the options - just as the person you would sell your house to wouldn't be able to - but you are able to sell yours for more because of some magical reason - i assume your opinion is you picked better options than everyone else and thus your house is clearly valued higher than everyone else's house and this is why you think what you do

11/30/2007 4:17:44 PM

^no. you're being an arrogant prick and not logical. actually, the unit that hasn't sold yet had bizarre options...an intercom system, but the cheapest countertop...hardwoods, but in a crazy pattern and obscure color. if someone is buying a brand new house in the community i'm in, why would they buy one with preselected options that they don't like if there are still lots available? when all the lots are complete and sold (probably 4 months), that's a different story. you also have to factor in that this is inventory the company is still paying for until they sell it. most homeowners selling their house can have more patience than a company trying to clear inventory before the fiscal year ends. not to mention that a lot of the allure of buying a new home in said community is the ability to customize your home.

as for "valued higher"...i paid around $195k for my house and it appraised for $203k about a month before it was completed. the market revaluation was around $202,500 so that's what i'm taxed on. that doesn't factor in hardwood floors, granite countertops, stone fireplace, finishing the unfinished room and other add-ons.

it's cool to act like you know everything if you'd like to keep doing that though.

[Edited on November 30, 2007 at 4:47 PM. Reason : //]

11/30/2007 4:40:55 PM

logic?

Quote :

"not to mention that a lot of the allure of buying a new home in said community is the ability to customize your home."

that is part of the point - what makes you think that you could sell your house for more than an identical one that is customized through the builder? - prospective buyers have the ability to buy the same house for cheaper that is a few months newer but yet you said you could sell yours for more money - you don't think that sounds ridiculous? that's why bobbydigital posted what he did

11/30/2007 4:50:40 PM

i never said i could sell mine for more money. i was referring to the market revaluation i just received in the mail (which i guess you haven't been following in this thread). right now it would be stupid to sell a house in my community because there are still lots available. granted, they've increased in price, but you get to pick your own options. this is why the house that's built hasn't sold yet (i assume). once the remaining lots are built, there is no option to build new in the community and then there isn't really an option.

i think i'm either explaining things poorly, or you're misunderstanding me.

11/30/2007 4:54:09 PM

Quote :

"i think i could sell my house for more than my "market value" and i could probably show that the same house could be purchased at a lesser price now"

so you didn't say that you are able to sell your house while the same one could be purchased for a lesser price

yeah i think there is a miscommunication somewhere

11/30/2007 5:00:14 PM

I am wondering if any of you know how this could work, and have any advice.

For the time being, my fiancée's dad has bought the house we will live in when we are married next year at which point we will buy it back from him. The house was closed on June 30th of this year. The appraisal that we just received for it is nearly 10% higher than what was just paid for it amounting to several hundred more dollars per year in taxes. So, when considering that, I am inclined to appeal it lower.

However...I am wondering when we go to actually get the loan in our name, will the bank see this 10% higher appraisal as equity and not require that 10% of the 20 needed for the traditional 30 fixed at the best rates. Because if that were the case, I can take that 10% we don't have to sink in equity and make more in the market than the cost of the taxes.

11/30/2007 10:09:46 PM

These days, most banks require 20% of the purchase price in order to get out of PMI, NOT 20% of the value(appraisal).

We just closed on a home yesterday, and it appraised for 26k more than what we paid for it, but we were still required to pay 20% of the purchase price.

However, you could pay 10% or 0% down, pay pmi for 6 months, and then get it reappraised and ask the bank to toss your PMI. I think they make you wait at least 6 months though.

11/30/2007 11:03:36 PM

^^ When you "get the loan in your name" will you be taking out a new loan on it? If you are truly "buying it from her dad" and taking out a new loan I'd be inclined to think that they would require an appraisal (+ a ton of closing costs) just as they do for any other loan. In that case, the appraisal may come in well above what you're paying for it giving you instant equity.

If your father-in-law is somehow transferring the existing loan into your name they'll probably just stick with the appraisal that came in at the time he made the purchase.

I don't think the bank is going to place any merit on the "tax value" of the house, so I'd try to get it re-assessed if I felt it was worth the time and money to do so.

12/1/2007 1:30:13 AM

reading this just makes me tired

12/1/2007 1:22:07 PM

The bank does not care about the tax appraisal. The only purpose of the tax office appraisal is to figure out how much to tax you on. They do not do a true appraisal of your home, its more a of blanket adjustment to your whole neighborhood.

When you guys refinance your house if it does appraise for more than you paid then that will give you a higher LTV% (loan to value). If you can get to where you have 20% equity in the home then you will more than likely get out of paying any private mortgage insurance and have a lot more financing options available to you.

12/1/2007 1:33:28 PM

the ltv would be lower for the same amount financed if the value goes up

12/1/2007 1:36:25 PM

So I am buying a house

We are going to rent my fiance out. Does any one here have experience with a management company.......thoughts?

12/1/2007 7:11:05 PM

i assume you want to rent your fiance's house out? or condo/townhouse?

otherwise - i'm sure some women on here are wondering what does an engaged man rent for?

12/1/2007 8:32:17 PM

Turn it into the new PKR

12/1/2007 10:43:12 PM

oops

Yes. His house. We are going to move to the Durham side of Brier Creek. Close on the 28th

12/2/2007 8:37:16 PM

Where specifically?

12/2/2007 8:40:23 PM

30 yr fixed wachovia custom mortgage today:


5.25 % + 0 + 1 with discounted pmi

5.75 % + 0 +1 without pmi


at least 3% down
cant own another property
up to $417,000 loan amount
income limit may apply, depends on property address

buyers market, no doubt.




[Edited on December 3, 2007 at 10:54 PM. Reason : nothing]

12/3/2007 10:52:07 PM

Stupid income limits. I wish I could have gotten rates like that.

12/4/2007 12:51:01 AM

http://www.youtube.com/user/raleighrealestate

Linda Craft is all up on Youtube.com.

12/4/2007 12:56:50 AM

Somebody buy my condo then

http://ccar.fnismls.com/publink/default.asp?GUID=b2e4a984-7f14-4ef7-877b-f9bd6491d37d&Report=Yes

12/4/2007 11:02:55 AM

wtf is POA Amt $1137/Qrt.

12/4/2007 11:39:54 AM

property owners association....

12/4/2007 11:41:32 AM

God damn.

12/4/2007 11:55:52 AM

Yeah, that part sucks. There was a lawsuit to stop the golf course owner from changing the golf course and building more condos that cost something like $300K+ for our lawyers. We won but are paying for it now.

12/4/2007 12:01:50 PM

That sucks. That's like 4 extra mortgage payments each year.

12/4/2007 12:05:55 PM

Basically. It's really not far off from other HOA's around the area though. The rates have sky rocketed in the last two years.

12/4/2007 12:07:20 PM

so, when would be the best time to buy a house in the area?

12/4/2007 1:34:51 PM

Which area? Interest rates are low, I heard something about another possible cut to interest rates soon tho. I'd say right around then would be a good time... Sellers are having to drop prices to get anything to sell and interest will be about as low as it's going to get (imo). So, now.

12/4/2007 1:42:24 PM

I second now.

12/4/2007 1:58:03 PM

Meadows at Pagehurst.

It is on the corner of Lumley and Page Road.

12/4/2007 5:53:54 PM

we put in an offer on a 2 bed, 2.5 bath condo (with 2 car garage!), about 1200 sq ft.... $393.5k

san diego real estate, even in a slump, still sucks.

12/4/2007 6:05:40 PM

at least the norm isnt 1000 bucks a sqf.

fuuck u nyc

12/4/2007 8:25:48 PM

it's interesting to see what the general perception is on the local market and interest rates

makes me lolzlzllz

12/4/2007 10:59:48 PM