Adding Sewer and Property Values (Sarasota, Venice: how much, house, neighborhood)

[Old Gal]

The Englewood Water District is going to start adding city sewer lines in part of South Venice in a few weeks. I am very curious what kind of positive or negative impact this would have on your property.

[Sunshine Rules]

Based on the installation of sewer lines in various parts of Sarasota over the past, I would say the following:

During the installation process, when streets are torn up, it can have an impact on homeowners trying to sell at that particular time -- not only is the digging up of streets an issue, it also makes buyers aware that they will have to hook up to sewer lines in that area and they want to know the costs associated with it.

Once homes in a neighborhood do start to hook up to the sewer lines, those homeowners who are procrastinators will find themselves at a disadvantage if they try to sell without hooking up to the sewer lines first.

However, once the work is completed and most homes in the area are hooked up to the sewer lines, it generally has a positive impact on home values. Most buyers, if they have a choice, prefer having sewer over septic.

[photoman_6]

amen to that.

[sware2cod]

Originally Posted by Sunshine Rules

... once the work is completed and most homes in the area are hooked up to the sewer lines, it generally has a positive impact on home values. Most buyers, if they have a choice, prefer having sewer over septic.

^^^This.

[North Beach Person]

Central sewer, and water for that matter, almost always (99.999% of the time) raises the value of properties which are hooked up or have access to it.

[Old Gal]

It's comforting to know that it shouldn't be money down the drain, no pun intended. I would be interested to know a percentage range of how much it would improve the value. I guess would it be more than the money spent for the improvement? Also, our property goes street to street and if I'm reading things correctly on the Englewood Water District website we only pay for the street we actually hook into, so, would the vacant land behind our house also go up in value since it would now have the ability to have city sewer even though, should we sell, the buyer would have to pay for the sewer improvement and to hookup? I hope that running sentence makes sense.

[North Beach Person]

Originally Posted by Old Gal

It's comforting to know that it shouldn't be money down the drain, no pun intended. I would be interested to know a percentage range of how much it would improve the value. I guess would it be more than the money spent for the improvement? Also, our property goes street to street and if I'm reading things correctly on the Englewood Water District website we only pay for the street we actually hook into, so, would the vacant land behind our house also go up in value since it would now have the ability to have city sewer even though, should we sell, the buyer would have to pay for the sewer improvement and to hookup? I hope that running sentence makes sense.

It's hard to quantify the dollar increase because it will be somewhat local.


The empty lot behind you will increase in value (and if it were in Maryland tax assessment) because central sewer is available.


Hooking up to it, as well as any tap fees involved, would be a cost of site development.


Does your property block access to the empty lot?

[Old Gal]

Originally Posted by North Beach Person

It's hard to quantify the dollar increase because it will be somewhat local.


The empty lot behind you will increase in value (and if it were in Maryland tax assessment) because central sewer is available.


Hooking up to it, as well as any tap fees involved, would be a cost of site development.


Does your property block access to the empty lot?

Interesting, since if we chose to finance it will be on our yearly tax bill.

No, the property behind the house has direct street access to a different street than we live on.

[North Beach Person]

Originally Posted by Old Gal

Interesting, since if we chose to finance it will be on our yearly tax bill.

No, the property behind the house has direct street access to a different street than we live on.

Yeah, that's the way it's usually done, either finance over X years via the tax or sewer bill or pay a lump sum. We currently charge $15500 for the sewer tap and $3500 for the water tap on new construction.


What is the tap fee for you?


When you get your sewer bill it will have a usage charge and, depending on how it's set up, a benefit charge paying of the bonds and infrastructure for the treatment plant. That part might be rolled into the usage charge.


We have the benefit charge as a special assessment because it can be deducted 100% that way on your federal and state income taxes here. If it wasn't a special assessment then only the interest portion would be deductible.

[Old Gal]

Originally Posted by North Beach Person

Yeah, that's the way it's usually done, either finance over X years via the tax or sewer bill or pay a lump sum. We currently charge $15500 for the sewer tap and $3500 for the water tap on new construction.


What is the tap fee for you?


When you get your sewer bill it will have a usage charge and, depending on how it's set up, a benefit charge paying of the bonds and infrastructure for the treatment plant. That part might be rolled into the usage charge.


We have the benefit charge as a special assessment because it can be deducted 100% that way on your federal and state income taxes here. If it wasn't a special assessment then only the interest portion would be deductible.

The water district only has it broken down as the financed amount with 5% interest to be $8,666.94 or $834.99 per year for 15 years to be put on your tax bill. Someone at the water district quoted me about $1,200 to get a plumber out to connect in addition.

If these figures are correct sounds like we are getting a deal in comparison to where you are. Of course you also need to remember that this is a retirement community for the most part and it has been fought tooth and nail because most people are on a very fixed income in my neighborhood and it could/would create a serious financial hardship for some.