[badger74]

The good news is the city thinks the value of our homes is up 20% in a year. The bad news--the Mayor already has lots of plans to spend more money with the windfall. How about lowering the millage rate a bit too. I could accept a 10% bump in taxes paid but 20% seems high.

[Hold My Own]

thats the beauty of the counties...even though bedford is starting to become the same way...theres always Campbell

[El Scorcho]

Yes. I'll definitely be moving out to Campbell County whenever I get around to moving.

[LUconn]

I just got my new appraisel in campbell county. It was a 2500% increase from the last valuation.





Of course there wasn't a house on it last time.

[Libertine]

The real estate and personal property (car) tax rates for the Region 2000 area per $100 of assessed value:

Lynchburg RE $1.11 PP $3.80

Campbell Co. RE $.52 PP $3.85

Bedford Co. RE $.65 PP $8.50

Amherst Co. RE $.61 PP $3.25

Appomattox Co. RE $.66 PP $3.50

As you can see, Lynchburg's real estate tax is nearly twice that of the surrounding localities. It was also one of the reasons I moved out of the city to Bedford County. Bedford County's car tax is abhorrently high and the explanation for that to me was that they were trying to get the car-hoarding rednecks to move the cars out of their yards. I only buy used, though, so it doesn't really hurt me that much.

[Hold My Own]

good info

[LUconn]

Campbell county! *clap, clap, clap clap clap*
Campbell county! *clap, clap, clap clap clap*

[Libertine]

I also just discovered that I can look up my neighbors' house and see how much he overpaid for it!!

Sucker.

[Hold My Own]

yeah someone posted that on here a looooong time ago...maybe it was on firehouse...I forget...what's that address to look up those prices?

[Sly Fox]

I assume you can challenge the assessments annually. That's your only recourse to keep the taxes from spiralling out of control.

[Libertine]

yeah someone posted that on here a looooong time ago...maybe it was on firehouse...I forget...what's that address to look up those prices?

For Bedford County: http://www.co.bedford.va.us/Realestate/default.asp

Does not apply to Bedford city addresses. You can reach other localities' sites through the Virginia state website.

[LUconn]

go to the lynchburg site and they link to it on their city assessor's map.

[Fumblerooskies]

I can't argue. A house down the road from us recently sold for 150K...ours was appraised at 141...and I can't appeal...the city has no idea about the improvements...finished basement doubled the square footage

[SuperJon]

Whoa whoa whoa whoa

Your house is assessed for tax purposes, it is not appraised. It is a tax assessment. Big difference.

[SuperJon]

I can't argue. A house down the road from us recently sold for 150K...ours was appraised at 141...and I can't appeal...the city has no idea about the improvements...finished basement doubled the square footage

That depends on who is looking at it. From a real estate agent's point of view to sell your house, sure, you have doubled the square footage. However, in terms of appraisals, you have not changed your square footage at all. You have changed your gross living area, but not your square footage.

For example, say you have a 1200 square foot house with a full finished basement. You can get $75/sq ft for the square footage above grade. The 1200 square feet in the basement will not count as square footage, and the value for that space is not always (and rarely is) the same as the value for your main living space.

[Fumblerooskies]

Thanks for the advice, SuperJon. I forgot you were in that line of work.

[SuperJon]

No problem.

You owe me $50.

Ok, I'm kidding.

But technically I can do that.

[LUconn]

ha, I'd like to see you collect on that.

[SuperJon]

I know. We can get paid for "consulting." I just like to call it "being nice."

[TallyW]

SJ... when I had one done a while back... they asked if it was "fully finished living space"... Doesn't that mean that if it is done up to code with the rest of the house that it is counted as such? I was under the impression that if you decorated it than it doesn't count but if you insulated, Sheetrock, electric outlets, etc... that it would be considered living space... is that not the case?

[SuperJon]

It comes down to is it finished or not. Just painting the cinderblock isn't finishing it. You would need to put down some type of floor, sheetrock the walls, put up a ceiling, etc.

[PeterParker]

The good news is the city thinks the value of our homes is up 20% in a year. The bad news--the Mayor already has lots of plans to spend more money with the windfall. How about lowering the millage rate a bit too. I could accept a 10% bump in taxes paid but 20% seems high.

Wow...even the 'burg is getting hit with the greedy local politicians (most of the housing valuations are based on smoke and mirrors at this point)...This scenario is playing out virtually everywhere due to the massive irresponsible and unsustainable housing run-up due to the introduction of the unregulated subprime market and the ability of people to qualify for loans (some for multiple loans for investment properties) who would never have been qualified in the history of the housing sector utlizing stated income, extremely creative/detrimental financing options. Watch for a significant correction in the market, Enron-like fraud cases coming to light (already happening), the inevitable governmental oversight committee hearings and the massive restructuring, regulating or abolition of the subprime market as the financial institutions sober up from the freewheeling 2002-2007 years. For some light reading on the national housing pandemic, check out:

1. http://thehousingbubbleblog.com/ Just the facts ma'am

2. http://housingpanic.blogspot.com/ More bearish in tone

3. http://mortgageimplode.com/ More bearish in tone

[TallyW]

Pandemic? That's a stretch. Not everyone is on an ARM loan.

[Sly Fox]

... or an interest only loan.

[PeterParker]

So perhaps pandemic was a bit hyperbole; however, after doing some light reading and rooting around, one will find an interesting perfect storm brewing in the leveraged debt and financial markets that will be ubiquitous. (Already imploding in Colorado.)

According to many major economists and financial analysts, recent developments are coming to light that are showing that the subprime market defaulting loan fallout is also starting infect upwards to show increasing loan defaults affecting the higher grade Alt-A mortgage lending area (which is what the majority of people have taken out in order to get in places with no money down, 80/20 loan splits, etc. since many people who have bought in the last three years have not been able to plunk down $40K in cash for a median house price of $200K; not just the ARM ones.)

The fallout is also showing up to a lesser degree in the Prime market also. All around its going to have a substantial effect on the financial markets. The mortgage resale market is one factor of many that has helped fuel the massive runup, and that market is drying up rapidly from week to week since Christmas as investors are abandoning ship on the mortage-backed securities offerings among other factors and many mortgage companies (publicly traded and non) are facing impending insolvency.

According to many sources, this is a major problem surfacing as an unintended consquence of the free flowing loans and qualification standards of the last 5 years.

We'll check back in 6-9 months or so and see how the market is shaping up then.