Time Magazine: New York Metro Home Prices to Fall Another 40%

[theoakman]

Originally Posted by JG183

genius -- this has been going on for decades

Please....had they let Fannie and Freddie fail, you could bring rates down to -5% and you'd still see a 50% haircut on real estate throughout the country. Doesn't matter though. If they ever do get housing prices to rise, it will be meaningless. Your house will be worth a million bucks, and it will cost you $500 to fill up the gas tank. Regardless of what happens to prices, housing will lose value. It's obvious there are better places to park your cash outside of real estate. Hell, you'll even get a better return investing in insolvent banks these days.

[goonsquad]

Originally Posted by Lusitan

The bottom line is that towns need X number of dollars from tax revenue. If property values are falling all over town, it makes no difference if you work to get a revaluation -- soon the town will just jack up tax rates on everyone because they still need X number of dollars coming in. They're going to get it one way or another. Thinking you can "reduce your property taxes" for more than a fleeting instant by seeking a revaluation is a mug's game.

Your last point is correct, but there is something to be gained by obtaining a lower valuation in a falling market. By obtaining a lower evaluation than your neighbors, you're paying a lower percentage of the town's tax bill than they are. You will continue to pay a lower percentage until the town does a reassessment of all home values. So the reassessment on a personal level can be hugely advantageous.

[dmccauley]

Originally Posted by goonsquad

Your last point is correct, but there is something to be gained by obtaining a lower valuation in a falling market. By obtaining a lower evaluation than your neighbors, you're paying a lower percentage of the town's tax bill than they are. You will continue to pay a lower percentage until the town does a reassessment of all home values. So the reassessment on a personal level can be hugely advantageous.

I agree, I'm not worried about the entire town at the moment I care about the cash in my pocket. In todays economy I would think everyone would try and save a buck and to be honest its not that difficult to appeal your taxes. Beside the fact that the towns do have a cap set by the state.