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Real Estate Value


Footballjoe
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I just had a client make an offer on a condo in Vegas. The condo is on a golf course. The condo sold for $325,000 in 2007. Their offer of $135,000 was accepted.

 

Just crazy...

Actually, what's crazy is the PREVIOUS price, not this one. Those markets - FL, NV, CA, AZ - just got ridiculous as any fool who understands mortgages as a percentage of income could see.

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I don't have my info regarding if my assessment has gone up or down, BUT I did review my homeowner's insurance. They have assumed an automatic 10% increase in value since I've owned the policy. I was over-insured by more than 100K. Not a bad idea to check on that.

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I don't have my info regarding if my assessment has gone up or down, BUT I did review my homeowner's insurance. They have assumed an automatic 10% increase in value since I've owned the policy. I was over-insured by more than 100K. Not a bad idea to check on that.

Careful......make sure you have enough for total reconstruction + at least 25% for overruns and sudden spikes in e.g. drywall.

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Careful......make sure you have enough for total reconstruction + at least 25% for overruns and sudden spikes in e.g. drywall.

 

Two insurance agents have confirmed this with replacement cost coverage. Including the dude that sold the policy.

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Two insurance agents have confirmed this with replacement cost coverage. Including the dude that sold the policy.

A lot of people are overinsured because they equate the assessed value with the rebuild cost, whereas you don't need to buy the land again plus the foundations are almost certainly still going to be in place absent an earthquake.

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Actually, what's crazy is the PREVIOUS price, not this one. Those markets - FL, NV, CA, AZ - just got ridiculous as any fool who understands mortgages as a percentage of income could see.

 

 

I can plainly see that. [/Groo]

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moved back to chicago from mi in 06. looked at realtor.com a few weeks ago and saw 2 houses that were for sale when we sold. they are 40% less and bank owned.

 

 

My parents have a beautiful home in NJ. No mansion by any means but new siding and roof, hardwoods through, stained glass. all kinds of bells and whistles. They are mulling a move down to South jersey in an adult community. My dad has slowed down a lot and they dont really need all this house plus their taxes are about 8400 bucks. They have a friend that paid 90 K for a 2 bedroom in the adult community and taxes are about 2 grand. Problem is the town my parents live in is loaded with short sales. I worked with a client that was looking in their town 6 months ago and the short sales were 250-275 . Some even less. My mom thinks shes getting high 3's possibly 4. I feel bad for them.

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Whomper, almost every retired person I know from the North moved down here because they could no longer afford taxes. Sad really to have to leave your home. The people across the street are Pennsylvania refugees.

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My wife said there was something on the Today Show this morning about how to sell if you are upside down on your mortgage. She had to leave for work but asked if I could find it. I did. Their advice was to save up and renovate your current home, because there are no programs that allow you to roll the extra debt into a new mortgage. :wacko:

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Whomper, almost every retired person I know from the North moved down here because they could no longer afford taxes.

That won't apply to me. I don't think taxes are that much of an issue. The freakin' cold weather, however, definitely is.

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