Cape Coral Sewer, Water and Irrigation Assessment Amounts (Fort Myers, Pine Island: health insurance, appliances)

[CRC2020]

In researching the 'value' of houses with paid and connected assessments, I looked at the Cape Coral GIS site and starting looking at properties at the leading edge of the installations. It looks like 6 total assessments (3 capital and 3 connection) for sewer, drinking water and irrigation water. Most of the houses I looked at, North of Embers Parkway, west of Burnt Store Road N, have assessments of around $17k.

Is that about the right number for estimating the assessment 'value' of a house in which assessments have been paid?

In other words, if I buy a property that hasn't been serviced yet, I can expect to pay around $17k in assessments in the future. (I know it can change, but I need to assign a 'value' to paid assessments when looking at total price to purchase....)

[dadof2divas]

That is correct. Around $17,000 for a single 1/4 acre then around $30,000 for a double lot once it gets hit. We looked hard the in the cape and the assessments turned us away. We stayed on Fort Myers side and landed with property taxes under $1300 a year with no assessments.

[CRC2020]

Originally Posted by dadof2divas

That is correct. Around $17,000 for a single 1/4 acre then around $30,000 for a double lot once it gets hit. We looked hard the in the cape and the assessments turned us away. We stayed on Fort Myers side and landed with property taxes under $1300 a year with no assessments.

Thanks!

That's a BIG difference!

[nhkev]

Originally Posted by CRC2020

In researching the 'value' of houses with paid and connected assessments, I looked at the Cape Coral GIS site and starting looking at properties at the leading edge of the installations. It looks like 6 total assessments (3 capital and 3 connection) for sewer, drinking water and irrigation water. Most of the houses I looked at, North of Embers Parkway, west of Burnt Store Road N, have assessments of around $17k.

Is that about the right number for estimating the assessment 'value' of a house in which assessments have been paid?

In other words, if I buy a property that hasn't been serviced yet, I can expect to pay around $17k in assessments in the future. (I know it can change, but I need to assign a 'value' to paid assessments when looking at total price to purchase....)

I am in the process of building a house in another state. It is going to cost about 8k for a well and probably 10k for a septic system. So I never got what the big deal was about paying 17k for city water and sewer. If one has it already and assessments paid it should be worth 17k more. What I was seeing more often is lots without the assesments were selling at a discount much greater than 17k

[CRC2020]

Originally Posted by nhkev

I am in the process of building a house in another state. It is going to cost about 8k for a well and probably 10k for a septic system. So I never got what the big deal was about paying 17k for city water and sewer. If one has it already and assessments paid it should be worth 17k more. What I was seeing more often is lots without the assesments were selling at a discount much greater than 17k

In comparing houses, e.g., N/W Cape Coral with S/W Cape Coral, I noticed most properties in the N/W have NOT paid assessments and are still on well and septic. But most properties in the S/W are on central water, irrigation and sewer. In my comprehensive, voluminous and completely OCD spreadsheet, I had to assign a 'value' to properties with paid and connected assessments. Likewise, Turnkey houses are assigned a value for the 'furniture' as are properties with other things I want, like solar heating, outdoor kitchens, hot tubs, etc.

Its just a way for me to compare apples to pears instead of apples to kumquats...

[SellingNWCape]

Originally Posted by CRC2020

In comparing houses, e.g., N/W Cape Coral with S/W Cape Coral, I noticed most properties in the N/W have NOT paid assessments and are still on well and septic. But most properties in the S/W are on central water, irrigation and sewer. In my comprehensive, voluminous and completely OCD spreadsheet, I had to assign a 'value' to properties with paid and connected assessments. Likewise, Turnkey houses are assigned a value for the 'furniture' as are properties with other things I want, like solar heating, outdoor kitchens, hot tubs, etc.

Its just a way for me to compare apples to pears instead of apples to kumquats...

Sorry to poke holes in your valuation theory, but are you also taking into account that homes that yet to be assessed are saving potentially hundreds of dollars a month by not having to pay a water/sewer bill each month? Multiple those saved expenses over several years and that amounts to quite a bit of money, especially in the areas where city water & sewer are potentially a decade away.

The reason you are seeing a lack of paid assessments in the NW Cape is due to the fact that these services are years off for many areas. Check out https://www.capecoral.net/uep/future_areas.php and there is no longer an estimate as to when many of these areas in NW Cape will get hooked up as they are just now in North 1 & 2. I'm in UEP North 7. Let's say a water/sewer bill would average $200/mo. That's $2400/yr. Over the decade it might take for water/sewer to reach me a decade from now, that's $24,000 I've saved by not having that additional bill each month so plenty of time to save up for an assessment should it eventually come.

[CRC2020]

Originally Posted by SellingNWCape

Sorry to poke holes in your valuation theory, but are you also taking into account that homes that yet to be assessed are saving potentially hundreds of dollars a month by not having to pay a water/sewer bill each month? Multiple those saved expenses over several years and that amounts to quite a bit of money, especially in the areas where city water & sewer are potentially a decade away.

The reason you are seeing a lack of paid assessments in the NW Cape is due to the fact that these services are years off for many areas. Check out https://www.capecoral.net/uep/future_areas.php and there is no longer an estimate as to when many of these areas in NW Cape will get hooked up as they are just now in North 1 & 2. I'm in UEP North 7. Let's say a water/sewer bill would average $200/mo. That's $2400/yr. Over the decade it might take for water/sewer to reach me a decade from now, that's $24,000 I've saved by not having that additional bill each month so plenty of time to save up for an assessment should it eventually come.

Actually I am taking into account monthly costs, but its in a different spreadsheet! My 'cost of living' spreadsheet, which BTW, compares monthly utility bills across all options, including simply staying were I am at...it also includes property taxes, health insurance, income taxes, etc. It is also included in my 'build from scratch' spreadsheet in which I am looking at starting with bare land and building exactly what I want. Building on a lot in N3 requires well and sewer, only to be replaced in a couple of years by the utilities. So that kind of expenses in the near term have to go into the home buying equation.

But I needed a way to 'value' capital improvements in comparing N/W vs S/W homes. (Wells and septics go into the capital expenses of a bare lot in the N3-7 lots.) Similar to comparing homes with and without a boat lift, with or without an outdoor kitchen, etc.

In addition, there is a dearth of houses in N4-7 (Gulf Access - years away from hookup) and more availability in the S/W. In fact some houses up to N2 still have unpaid assessments even though they have hooked up. (Hook up expenses are in that catch all MISC category!) Although these are mostly the vacation VRBO type homes people are starting to unload.

I know there are some additional hidden expenses for houses on well and septic. R/O system replacement and maintenance, pumping and inspections - things like that - but I'm not addressing them except in the ubiquitous monthly cost 'home repair' category along with pool, paint, carpet, appliances and A/C type issues.

So far it has worked out well when comparing my top line budget limitations to what is available at specific property locations. As to whether or not it will make a difference in negotiations will be determined when I get that far!

[SellingNWCape]

That's good. Yeah, some people elected to pay the assessments outright, usually if they had the cash at hand or those who viewed it as a selling point, especially a few years back when it was more of a buyer's market. Others just elect to tack it onto their annual tax bill.

Another thing you will want to keep in mind with regard to potential flooding issues is the elevation of the home. I remember a few years back when there was a lot of flooding west of Burnt Store Rd that made the news when we got heavy rain dumped for a few days straight. That's why most houses built 2000s have a much higher elevation than the older homes.

[CRC2020]

Originally Posted by SellingNWCape

That's good. Yeah, some people elected to pay the assessments outright, usually if they had the cash at hand or those who viewed it as a selling point, especially a few years back when it was more of a buyer's market. Others just elect to tack it onto their annual tax bill.

Another thing you will want to keep in mind with regard to potential flooding issues is the elevation of the home. I remember a few years back when there was a lot of flooding west of Burnt Store Rd that made the news when we got heavy rain dumped for a few days straight. That's why most houses built 2000s have a much higher elevation than the older homes.

I did research the flooding. In looking at contemporaneous news reports (YouTube) a lot of the N/W flooding was fresh water from Yucca Pens across Burnt Store Road, north of Pine Island road (fresh water as well), Diplomat Parkway and Skyline BLVD - all related to limited outflow, and a lot of rain, into the freshwater canal system.

Did that translate into higher saltwater canal levels up in the N/W area? I see where some flooding occurred in the S/W area due to a blocked drain pipe. I also know excessive rain will cause seawall failure on the older designed seawall due to lack of weep drains. But that's a different issue.

But in the general subject of flooding, I have looked at the elevation certificates of the newer builds compared to some of the older ones in the same area - and I have seen the differences in some flood insurance costs vis a vis elevation certificates from reading posts on the Charlotte CTY board - hard to believe 8" makes that much of a difference.

Definitely going to put an insurance contingency in any offer and get an estimate right away...

[SellingNWCape]

I don't know that there's been a canal-related flooding, at least not in the past several years we've been here. The flooding here is mainly from "hundred year rain" event issues like when the extended play outer bands of Harvey dumped rain on us for days while it hit Texas. Irma, on the other hand, no flooding. We are highly elevated and when Harvey came passing by the rainwater definitely went up and over the lower part of our driveway. If we would have been closer to the road and at or just below road elevation, we probably would have taken on some water like the other people in the news story did. It's always better to be the higher elevated house on the block if you have to choose between the higher and lower elevated homes next door to each other.