What's new
By:
Filters

State of housing costs in the US. Where does it end?

Prop 13 has my house at an assessed value of 134,000 when Zillow says its worth 417,000.

That would be life altering change in cash going out the door each month if I was paying market value in taxes. I don't mean I would be eating mac and cheese 4 nights a week, but still changes to discretionary spending would have to happen.

Of course, that doesn't help the <30 crowd that I was mainly talking about in this when I started it.

Down payment is still the biggest hurdle and simply saying cut the Starbucks isn't a real answer or solution.
 
This is the tax breakdown on my last home. I paid 198K for it in 2008. It’s not near as bad as people who have nicer homes like grumpy or many others on here.



IMG_6425.jpeg
IMG_6426.jpeg
 
dntsdad said:
Down payment is still the biggest hurdle and simply saying cut the Starbucks isn't a real answer or solution.
Click to expand...
I sold 2 truck I had rebuilt, plus saved cash when I bought my house at 28. I know people older than me who struggle in their house. I also know people who stayed with their parents and are working on saving to their second rental house at 26. Alot of it comes down to Income, savings amount, and pure market luck.

The short answer to "where does it end?" is never. Thanks for playing.
 
JR4X said:
Market value that the state of New Mexico gets to decide. Lots of states do it that way. Colorado, NM, Utah etc. asses and send you a bill based on a percent of your homes taxable value.
Click to expand...

gotcha, i know our buddy bigwoodywag fights with his local assessors over this constantly. again one thing cali did right was prop 13

this is thewifes grandmas house tax history. unfortunately she passed in 2022 but this highlights what you are talking about. she had been in that house for 50yrs or something like that. she was in ventura, ca so the prices were dumb but still even a 50% increase in taxes is a big jump when you are in the end of life on a limited income.
1722532043796.png


trampas said:
I believe Texas is the bend you over state on prop taxes
Click to expand...

but no state income tax. people love to leave the prop tax part out when comparing house cheap and awesome texas is.

dntsdad said:
Prop 13 has my house at an assessed value of 134,000 when Zillow says its worth 417,000.

That would be life altering change in cash going out the door each month if I was paying market value in taxes. I don't mean I would be eating mac and cheese 4 nights a week, but still changes to discretionary spending would have to happen.

Of course, that doesn't help the <30 crowd that I was mainly talking about in this when I started it.

Down payment is still the biggest hurdle and simply saying cut the Starbucks isn't a real answer or solution.
Click to expand...

this is the downside to prop 13.

people wont move in an effort to avoid increasing their tax liability, which in CA is a huge deal due to the above average increase in value. there is going to be a stagnation in the market for a while because of this and interest rates.
 
JR4X said:
This is the tax breakdown on my last home. I paid 198K for it in 2008. It’s not near as bad as people who have nicer homes like grumpy or many others on here.
Click to expand...

whats the number on the right hand side of the picture
 
mobil1syn said:
people wont move in an effort to avoid increasing their tax liability, which in CA is a huge deal due to the above average increase in value. there is going to be a stagnation in the market for a while because of this and interest rates.
Click to expand...
Tax liability or no, when you move, there's overhead to realtors, inspectors, etc. There's also the part where it's a PITA to jump through all the home buying paperwork hoops, moving your chit, etc. At this point the only way I would move is if I needed a bigger house or had to relocate for a job. Ain't now way I'm just sitting around thinking about my next house for giggles.
 
Sandy Johnson said:
Tax liability or no, when you move, there's overhead to realtors, inspectors, etc. There's also the part where it's a PITA to jump through all the home buying paperwork hoops, moving your chit, etc. At this point the only way I would move is if I needed a bigger house or had to relocate for a job. Ain't now way I'm just sitting around thinking about my next house for giggles.
Click to expand...

you dont want to be inconvenienced which is #2 on my decision making matrix with seeing thewife naked being #1.

the cost to move is a one time cost, the tax liability is there for the duration even after you pay the mortgage off.
 
Last edited:
mobil1syn said:
you bought at $198k, but the value is $30k :confused:
Click to expand...
No, I don’t understand exactly what that is. The left is the yearly tax cost that gets split into 12 parts and spread out of your payments for the year. This what it looked like before I bought it and the year I bought it.

IMG_6428.jpeg


I paid a thousand bucks a year for the first 3 years aka 83.33 a month then it dropped a couple times after that. Now the current owners are paying 1688 a year aka 140.66 a month.
 
How about "Touring Contracts", I'm sure they'll be benefiting the consumer. Fuck Real Estate agents, I had to fire the first one (Redfin) I had for the Vegas house, when she wouldn't list it for the amount I wanted, "because comps, hur dur". I told second agent I had fired the first, and I got it listed at my amount and got a full price offer, with no accomodations. Told the buyer he got brand new carpeting, brand new HVAC, brand new interior paint and a good lanscape cleanup, no I'm not replacing all the tile counters with quartz.

Oh, and this bullshit below will be coming to most of the USA.


PHOENIX (AZFamily) — If you are in the market to buy a home, starting Thursday, before you can even physically look inside, there is a new and important document you’ll need to sign.

“Consumers are going to be taken off guard. They shouldn’t be scared but they need to know what the contract says,” said Jim Knupp, the deputy commissioner of the Arizona Department of Real Estate.

Before you can tour a prospective home, you will need to sign a contract with a licensed real estate agent.

“A lot of times you may not have even met a licensee prior to wanting to tour a home and this is going to be a contract tying you to a licensee for compensation before you even met the individual. So, you really need to understand what is in the contract,” said Knupp.

Knupp said it’s important to read this document carefully because you will be locked into having this agent for as long as the document specifies.

“These contracts are binding. These are contracts with private individuals, and they can be held to the terms of the contract,” said Knupp.

Before you sign the document, the Arizona Department of Real Estate said everything on it should be negotiable.

This means you can decide how long you have the agent, whether it’s for a few days or longer.

You can also have it so that you only have the agent for a single property. You can even discuss their commission on the sale.

“If you wanted to see a certain home, the contract could be only tailored to viewing that home and for the duration of the contract it would exist for that home if you wanted to buy that home,” said Knupp.

If you are feeling pressured to sign something you don’t want to, Knupp says report it to them.

“The department exists to investigate complaints against licensees and we are happy to do so.”

The added document is in response to recent lawsuits by the Department of Justice against the National Association of Realtors.

The good news for home buyers is this form will outline exactly how much your agent will make.

This starts on Thursday in Arizona and is expected to start across the country by Aug. 15.

This change will affect open house viewings. The Arizona Department of Real Estate said you can expect to see these documents before you walk inside an open house viewing.

If someone has a real estate agent they regularly use or prefer, starting Thursday, if you want to buy a home, they will give you that document to sign.
Click to expand...

This will officially make them your agent and say for how long. It should also have how much commission they make.
 
mobil1syn said:
you bought at $198k, but the value is $30k :confused:
Click to expand...
That is how it shows up on all our pieces of property too. By the way, my 300k house, bought as a fixer for 125k a while back costs $2500-$3k/year in taxes in rural Pennsylvania. :barf::barf:
 
Sandy Johnson said:
Mine last year
1722536992142.png
Click to expand...
Ouch.

We pay state, county and school taxes on our house, cabin and the building my shop is in. And it still isn’t as much as yours. Thanks, I feel better now. :flipoff2:
 
bad zuki said:
The bank won't loan you the money unless its about 1/3 of your take home.
Click to expand...

2big bronco said:
40% of your gross is what my broker said was standard... which may be the same, to early to math
Click to expand...

And to that, what are you currently paying? Not alot of folks moving out from living with the folks to their own place - (except the mexicans' :flipoff2:) so would also have to factor in their existing rent as well. It's steep wall to climb. Yeah it worked for me but I went into Engineering, leveraged the VA Loan program to offset the down payment, and bought pretty cheap. If I had to do it over without 1 or 2 of those thing, it would be very tough even with the good paying position. It it would be hard for me unsure how others would do it.
 
DMG said:
Before I left CA I was thinking about houses up near you and a commute to Sacramento/Folsom. At the time there were deals up there.
Click to expand...
My old job was in Folsom and my drive was 60 mins door to door.. most if not all on 'surface' streets. People looked at me like I was nuts until I commented that I had a friend in SF Bay Area that spent 90 mins on a good day to drive 35 miles on 101:eek:

I think there are still some deals up here but it takes a different mindset to be up here. I've heard more than a few cases of people saying 'oh Georgetown seems cute/cool'... then they drove up and said too much driving:homer: I'll ignore the guys who bought houses at 3000'+ and then sold the next year when they found it snowed a few feet:shaking::laughing:
 
Thatg9659 said:
A quick search a mile around me shows a falling apart cabin on 4 acres with a great view for 125k and a three bedroom house on 40 acres for 1.1 mil, the three bedroom house is pretty close to the railroad tracks. I hope they have thick windows to insulate the twice sometimes thrice daily train horn.
Click to expand...
Link to cabin?
 
Lil'John said:
My old job was in Folsom and my drive was 60 mins door to door.. most if not all on 'surface' streets. People looked at me like I was nuts until I commented that I had a friend in SF Bay Area that spent 90 mins on a good day to drive 35 miles on 101:eek:

I think there are still some deals up here but it takes a different mindset to be up here. I've heard more than a few cases of people saying 'oh Georgetown seems cute/cool'... then they drove up and said too much driving:homer: I'll ignore the guys who bought houses at 3000'+ and then sold the next year when they found it snowed a few feet:shaking::laughing:
Click to expand...
I live in relative bumfuck vt. A fair amount of new buyers sell in the first couple years. Turns out when you buy a property in the spring and it's only 20 mins to grocery store, half hour to the hospital and doctors office. It's not bad. Add in snow and ice, twisty roads, steep hills, and dark at 4 or 5 pm they aren't fans. Don't get me started on the whining that comes with mud season if you live on a dirt road.
 
Weasel said:
And to that, what are you currently paying?
Click to expand...
$1300/m, with taxes and insurance. I bought a cheap place that needs renovations. Currently saving up for those since the crawler is done.

Neat stories from my experience.
1. Since half my income is bonuses, the bank only approved me for a $300k loan with base pay.
2. I was gambling Investing my down payment in the 20-22 NYSE, and winning, enough that I had to fill out an affidavit stating that nobody gave me the money to close on the loan, and submit statements, From my own bank to my own bank. :laughing: Apparently it's common for parents to sneak their kids the down payment, and highly illegal on FTHB loans. Which is weird because they only need 3% down. I put 20% down for no PMI.
Weasel said:
Yeah it worked for me but I went into Engineering, leveraged the VA Loan program to offset the down payment, and bought pretty cheap.
Click to expand...
Same, but no VA.
 
When I sold my previous house this spring, they wrote an extra 10k into offer to be rolled in as the down payment. I didn't care, the extra commissions were negligible, but I realized that it would need to appraise 10k higher, and I started to sweat that, and wound up polishing some things I didn't intend to just to make appraisal.

Buyer was a young guy, good income, no down payment money
 
You must log in or register to reply here.
Top Back Refresh