Real Estate – Market, Mortgage, Buying Homes, Selling Property

Something seems to have happened to the mind set of state and local government. Property taxes are soaring as the value of the overall aggregate of real estate home values are dropping. Many areas are hard hit by home foreclosures and are running deficits.

Real estate taxes continued to climb even as the average value of a single family home fall. Either the shortfalls need to be addressed by higher property taxes or larger sales tax. Unless government tightens its belt, higher taxes one way or another are inevitable.

The state and local government hiring has accelerated in the last 12 months. Despite the economic slowdown, private firms slashing staff, the public-sector jobs gains have actually sped up.

State and local governments are in a budget crisis. You wouldn’t know it when you looked at the payrolls. 338,000 new jobs have been created in the past 12 months. That’s far more than the 195,000 jobs in the 12 prior months.

Budget cuts could affect aid to cities, towns, communities, villages and counties and affect transportation, mental health, housing and other social services.

With the fall in real estate prices, it pays to scan the horizon to see how your homes valuation noted the assessment notice compares to recently sold homes.

The National Taxpayers Union writes that as many as 60% of all homeowners are over-assessed and not in line with their home value. (“How To Fight Property Taxes” 2004 p.1

The value of residential real estate is estimated by comparing the subject with similar properties that have been sold recently. Look at your neighborhood to find comparable sales or properties in similar neighborhoods that share similar characteristics of lifestyles, income level of residents, surroundings, average age and value of house.

If officials want to make an interior inspection, let them.

In Massachusetts Lawyers Weekly, an article appeared Taxation – Real estate – Abatement – Interior Inspection Published: August 25, 2008 where they judged in favor of the Appellate Tax Board” Where a taxpayer refused to allow an interior inspection of his home, the Appellate Tax Board acted permissibly in refusing his abatement request.”

Although this happened in Massachusetts, it’s a good idea to cooperate with the tax assessor. But when your assessments are out of whack, appeal your property tax!