Real Estate Crash thread

[Shredhead]

https://www.gismaps.org/co-summit-county/

[Ted Striker]

Danno is right.

[goldenboy]

IME, he probably doesn't need any such help. The assessor provides the full list of comps that they could have considered, and the reality is that as a realtor, you're trained to find real comps, as in the ones that most accurately reflect the true value of a house if it were on the market. But in this exercise, that is not what Summit wants to do. He wants to find the most similar properties that sold for the lowest amount in the specified time period.

A realtor here on Nextdoor was advertising that he could help with tax appeals for free (I assume he's trying to build goodwill) but it wasn't very useful to me. Because he was trying to pick the best comps to determine my house's value, whereas in this process you don't want to determine the actual value, you want to determine the lowest value that you can support with comps.

The realtor sounds like an idiot then. When people ask me to find comps for a tax appeal, I'm looking for the lowest sales I can to help them with the appeal. Really no different than working with a buyer and finding comps that support a price below asking.

[Danno]

The realtor sounds like an idiot then. When people ask me to find comps for a tax appeal, I'm looking for the lowest sales I can to help them with the appeal. Really no different than working with a buyer and finding comps that support a price below asking.

Totally agree (re that realtor and that you get it). So didn't mean to imply that you didn't get it, just that a realtor isn't really necessary for this, because the assessor provides all the needed info. I assume all the county assessor's offices have the same available info as mine, which is an excel spreadsheet for my area (though "my" area is hudge on their site, making many of those sales not good comps). I sort the spreadsheet by date sold and look at the last 2 years (more accurately, 7/1/16 through 6/30/18), since that's the data they look at (unless there isn't enough of it) and then scan it for any place that is near me geographically (ie truly in my neighborhood). For those, I look at the time-adjusted sale price, and if it is lower than my valuation (or perhaps even higher but the place has more sqft), I tag it for potential use.

[goldenboy]

^^^ True, but then you're doing work that a realtor would do for free. Use that time and ride your bike or something, you know?

[Danno]

^^^ True, but then you're doing work that a realtor would do for free. Use that time and ride your bike or something, you know?

fair enough. But what I described took me all of 5 minutes, it would be a short bike ride.

What takes more time is filling out the appeal form, and writing the text to support the comps I picked. But yes, totally agree, if Summit has a good friend that's a realtor that understands this stuff he could save a little time.

The friend needs to understand this stuff, though, because the comps he needs are not the most recent comps, no comp sold after 6/30/18 is usable, from my understanding.

[FussyDutchman]

Talked to a colleague who is doing a bunch of these and captive insurance defense. He is also a Forensic Accountant. IRS somehow found money to investigate captives and they are going at them as fraud cases. For those that don’t know captives are insurance companies setup solely for insuring an individual or companies own risks. It allows one to put money into it as premium and consider the premium an expense and deduction from income. Money can accrue tax free as long as they can reasonably say it is to offset future losses.

Hey R, hope all is well out there. Hadn't heard of the captive angle but not surprising. The company we are talking to is a regional RE brokerage firm that has bit of a niche handling RE tax strategies (mainly commercial) but set up a separate company to handle the charitible donations under the IRS' bargain sale program. I have my doubts about how sustainable a business it is but if we can grab a few on the cheap and flip them I'll take it.

[RootSkier]

What happens when I'm old have to sell my place because I can't afford property taxes?

Reverse mortgage, LOL.

[neufox47]

Reverse mortgage, LOL.

I just got an advertisement from some crooks trying to give a “home equity loan with no monthly payments”, where they cut you a check for 5-15% of your homes value and you sign away most of your rights to appreciation.

So if some asshole steals your identity and signs you up for this, takes your money, you may not find out until you go to sell it years later.

[AdironRider]

Well I would assume there would be a lien and the true owner would be notified wouldn't they?

[liv2ski]

Well I would assume there would be a lien and the true owner would be notified wouldn't they?

Nope. Have you ever received any notification after a refinance? Nope. Good idea to look at your credit report periodically.

[RootSkier]

This is why I buy a new title insurance policy at least once a month.

[liv2ski]

This is why I buy a new title insurance policy at least once a month.

You forgot to include /sarc

[Mazderati]

Gentrifiers become the gentrified.

[iceman]

Gentrifiers become the gentrified.

Billionaires squeezing the millionaires out?

[Mazderati]

Newly minted equity millionaires all the sudden like, "The rent is too damn high!"

[Benny Profane]

B.C. is the laundromat for dirty cash.

https://www.bloomberg.com/news/artic...s-housing-boom

[Kevo]

Couple houses recently went on the market in my neighborhood in Golden, CO.

House one is a 1600 sq foot 3/2 that sold for $399k 7/2015. It sold in two days at $550k.

House two is a 2900 sq foot (including finished basedment) 3/3 that backs to open space. It is on the same street as my house and is the same floor plan as my house. Mine is a 4/3.5 because of an extra bedroom and bathroom in the basement. I bought my house for $518k 2.5 years ago.

My parents were interested in buying house two so I put them in touch with my realtor. In 3 days on the market this house has two offers at a $660K asking price. Two comps from last fall were $630k and both of those houses were 4/4 including walkout basement apartments that can be rented separately.

Seems like SFHs in this part of the front range are still on the up and up. Conforming GSE mortgages in my county went from $456k when I bought in 2016 to $561k in 2019. Seems like with all the money being printed there is nothing to put the brakes on the price increases.

[Marshall Tucker]

^ Identified a property in HHI we wanted to buy friday. by sunday it was gone. Fuck it. I'm a patient man. what goes up WILL come down. some.

[neufox47]

Well I would assume there would be a lien and the true owner would be notified wouldn't they?

There would be a lien but no notification in any jurisdiction I’m aware of. Additionally the amount of time that is likely to elapse from placement to discovery would likely nullify most identify theft protections that exist.

[Benny Profane]

Check out those Colorado ski country numbers.

https://howmuch.net/articles/americas-mortgage-map-2019

[JimmyCarter]

Check out those Colorado ski country numbers.

https://howmuch.net/articles/americas-mortgage-map-2019

Really odd that Vineyard Haven would be on there next to San Jose/etc. Its got maybe a few thousand residents - not exactly a "metro area"

[Benny Profane]

Well, Breck ain't, either.

[Name Redacted]

Check out those Colorado ski country numbers.

https://howmuch.net/articles/americas-mortgage-map-2019

Union city, TN here I come!

You mean it is expensive to have a mortgage in the mountains of CO? Who knew?

[goldenboy]

Hard to imagine writing a mortgage check for like $250/ month.