[flu189]

Originally Posted by Ulysses61

Well, the main problem from my point of view are the ludicrously high property taxes in VT. I would very much like to retire to Vermont, but the property taxes have scared me off. I was looking at a $600,000 home in the Woodstock area and the property taxes would be $10,000 a year! Yikes!

Sounds like the tax rate is the same as in my town. Also, don't forget the property transfer tax on the buyer when you buy the home which in your case would be $6,750. You also have to factor in annual increases in the property tax as well and also the sharp increase in heating costs, both which will likely continue to rise. Not trying to create more anxiety or doubt, but it is important to enter into moves and major transactions with eyes wide open.

[flu189]

For those that follow the compter tech industry here in Vt news over the weekend broke that Qimonda in Williston will close operations here cutting 130 jobs with an average wage of $80k year. Apparently 50 of those affected will be able to compete for positions in North Carolina. A very lousy Christmas gift. Just in July Qimonda announced plans to actually expand operations here. This will have a ripple effect since where my wife works they get quite a few Qimonda business travellers staying there. Just a coincidence, but the American Legislative Exchange Council just rated Vermont 50th of all states in its Economic Competitiveness Index based on sixteen criteria measures. I am always skeptical on "ratings", but for those interested the report can be accessed on alec.org and Vermont's information is listed on page 99. A separate report last week from another source reported that Vermont has the highest rate of second job holders in the country which did not surprise me as I know plenty who work extra jobs in addition to their full time primary job.

[Ulysses61]

Flu, could you possibly take a moment to explain this:

"Also, don't forget the property transfer tax on the buyer when you buy the home which in your case would be $6,750."

I didn't know about this. Are you saying when you buy a home in VT, you also are taxed on the purchase? Sheesh!

[vter]

You can find all about VT Property taxes here.....http://www.vermontrealestatetoday.co...tatetaxes.html

[flu189]

Originally Posted by Ulysses61

Flu, could you possibly take a moment to explain this:

"Also, don't forget the property transfer tax on the buyer when you buy the home which in your case would be $6,750."

I didn't know about this. Are you saying when you buy a home in VT, you also are taxed on the purchase? Sheesh!

When you buy property here there is a property transfer tax levied on the transaction which the buyer is responsible for. On the first 100k it is .5% and on the remaining balance the amount is 1.25%. Property transfer taxes exist in many states and can affect the buyer or seller. I was lucky in that the state that I moved from we did not have it. As far as being a retiree Vermont does not offer many breaks on pension income and we also have the "death" tax (estate/inheritance), so depending on your economic situation and assets research on these issues is advised. In my case I would say in five years we will be outbound as between a modest pension and 457 retirement plan the tax burden in combination with property taxes and energy costs will eat too much into lifestyle especially when factoring in the unknowns of future health and of course market performance on retirement funds.

[Sherylcatmom]

Originally Posted by flu189

In my case I would say in five years we will be outbound.

Any idea where you'll go? Are there particular somewheres that attract you?

[flu189]

Originally Posted by Sherylcatmom

Any idea where you'll go? Are there particular somewheres that attract you?

I have been taking a long hard look at southwest Virginia. I like to spend quite a bit of time hiking and my ultimate goal is to thru hike the Appalachian Trail in one trip. The region there is geographically very much like Vermont to include four seasons, but with winter being milder and shorter. Summers in the southern Appalachians and Blue Ridge are also pleasant and not as brutally hot as many other regions in the south. Also, economics such as cost of health care, taxes, utilities, and housing factor high in the decision. Over the next few years I plan on taking several field trips to the area to check things out first hand. From my research it does appear that the area allows for the ability to live a semi rural lifestyle, yet still be in proximity to essential services and shopping needs.

[Ulysses61]

Flu: I urge you to try and thru-hike the AT. I've section hiked 1000+ miles of it over a period of 5 years. In 2001, I attempted to thru hike from Springer Mtn, but my husband broke his leg 200 miles before Harpers Ferry and we had to quit. A very worthy goal! When I retire, this is also my dream.

[dwiggin3]

Originally Posted by flu189

I have been taking a long hard look at southwest Virginia. I like to spend quite a bit of time hiking and my ultimate goal is to thru hike the Appalachian Trail in one trip. The region there is geographically very much like Vermont to include four seasons, but with winter being milder and shorter. Summers in the southern Appalachians and Blue Ridge are also pleasant and not as brutally hot as many other regions in the south. Also, economics such as cost of health care, taxes, utilities, and housing factor high in the decision. Over the next few years I plan on taking several field trips to the area to check things out first hand. From my research it does appear that the area allows for the ability to live a semi rural lifestyle, yet still be in proximity to essential services and shopping needs.

SW VA is nice..take a look at Central VA - the Madison Co. area. VERY nice. Also, western NC is great - all similar to VT with less snow.

[PortieOwner]

Originally Posted by Ulysses61

Flu, could you possibly take a moment to explain this:

"Also, don't forget the property transfer tax on the buyer when you buy the home which in your case would be $6,750."

I didn't know about this. Are you saying when you buy a home in VT, you also are taxed on the purchase? Sheesh!

Also known as a "howdy neighbor" tax. They can be as high as 2 percent in some Maryland counties (some breaks exist for 1st time buyers, veterans, etc.). Imagine a 2 percent tax on a $700,000 home in Maryland, on top of already enormous closing costs.....