Land lease verses owning the land.

[rockky]

Certainly not all of these communities are the same. Finding one to meet your life expectations is wonderful and comforting.

No one is judging or condemning any individual for their personal choices.

My concern is that there is one message that is getting lost in this exchange of words....some flowery...some not. Each view is proper and correct for the person sharing it. They are all opinion, and sharing opinion is a good thing. There may be very nice and honest communities owners and developers out there. I'm not saying all are dishonest by any means.

The common denominator in leased land in DE is that the purchaser is not protected by Delaware state laws. The fees can be raised at any time, even if the buyer is assured that they will not. The state law dictates that the fees are based on the 'current land value', and that is determined by the land owner. What, years ago, was seen as worthless marsh land is now considered premium waterfront property. As building and growth continue the land will increase in value no matter where it is.

I wonder what would happen if one of the owner's of a land leased community starts to have financial problems and chooses to sell their site. The new owner values the land much higher and raises the fee. As the law currently stands, the home owners have no protection under DE law.

This is just wrong, and I think the state law makers need to put some sort of legal state cap on the way land value is determined.

It concerns me that this message is being lost. I don't want anyone to be hurt by the politics in the state.

Also, I don't understand the assumption that those who choose to lease land don't pay taxes on it. Someone has to pay those taxes somehow. Developers are not paying it out the goodness of their hearts. They are business people. Their goal is to turn a profit, and I find nothing wrong with that. The taxes are being paid by the home owners. It goes to the developer and then to the municipality or state. Taxes on land are very low. Most taxes are on improvements/structures. Thus, the developer includes the land taxes in the fees and no one thinks about it.

If someone is moving to DE and is interested in land leased property, they need to really dig for info. Don't base it on what the site sellers tell you. Don't take for granted a long winded, written law that double talks. Make them answer the hard questions and check with an attorney/real estate expert if you are not satisfied with what you hear/read.

[rdlr]

Originally Posted by Summering

I love to hear that people love where they live. Of course, we all should........

Delaware's laws on leased land are full of loop-holes, and in my opinion, a leased lot could eventually be a nightmare. I keep hearing about all of the research people have done. Research on what? There are no hard Delaware laws to research. The research, in most cases, starts with the salesperson's pitch selling the house, and ends there.

[Summering]

Originally Posted by rockky

Certainly not all of these communities are the same. Finding one to meet your life expectations is wonderful and comforting.

No one is judging or condemning any individual for their personal choices.

My concern is that there is one message that is getting lost in this exchange of words....some flowery...some not. Each view is proper and correct for the person sharing it. They are all opinion, and sharing opinion is a good thing. There may be very nice and honest communities owners and developers out there. I'm not saying all are dishonest by any means.

The common denominator in leased land in DE is that the purchaser is not protected by Delaware state laws. The fees can be raised at any time, even if the buyer is assured that they will not. The state law dictates that the fees are based on the 'current land value', and that is determined by the land owner. What, years ago, was seen as worthless marsh land is now considered premium waterfront property. As building and growth continue the land will increase in value no matter where it is.

I wonder what would happen if one of the owner's of a land leased community starts to have financial problems and chooses to sell their site. The new owner values the land much higher and raises the fee. As the law currently stands, the home owners have no protection under DE law.

This is just wrong, and I think the state law makers need to put some sort of legal state cap on the way land value is determined.

It concerns me that this message is being lost. I don't want anyone to be hurt by the politics in the state.

Also, I don't understand the assumption that those who choose to lease land don't pay taxes on it. Someone has to pay those taxes somehow. Developers are not paying it out the goodness of their hearts. They are business people. Their goal is to turn a profit, and I find nothing wrong with that. The taxes are being paid by the home owners. It goes to the developer and then to the municipality or state. Taxes on land are very low. Most taxes are on improvements/structures. Thus, the developer includes the land taxes in the fees and no one thinks about it.

If someone is moving to DE and is interested in land leased property, they need to really dig for info. Don't base it on what the site sellers tell you. Don't take for granted a long winded, written law that double talks. Make them answer the hard questions and check with an attorney/real estate expert if you are not satisfied with what you hear/read.

Good informatin to pass along........great posting Rockky. A well informed buyer is the best kind to be.

[rdlr]

Thank goodness we have the freedom of speech to weigh the pros and cons on any subject, and still remain cordial. Anything else would not be the AMERICAN way! This is so good for visitors to read, all opinions, then they can make their own decisions.

[Laural]

These posts are getting redundant, I went back and read from the beginning, and every point has been made that could possible be made. There is enough information here if someone has questions they can read this thread and get pros and cons. Isn't it time to put this thread to bed? And seriously for those who have strong feelings about this topic, don't just talk about it go out and do something about it. For those who live in a 55+ community or planning on doing so, more power to you, I'm glad you found a place your happy with and I may be joining you some day soon, but for now I'm done with this thread, moving on to something better to talk about.

[Norman Olson]

Why are you glad

[elizamary]

Originally Posted by Norman Olson

Why are you glad

Who are you addressing this too?

This thread is an old one and not been in progress since May 2008.

Just to sum up......

Some people would not buy into a land lease community and yet it is perfect for other people.

You have to investigate and find out what is right for you.