Real Estate Tax Law

Texas Property Tax Cut

Real Estate Pro — Wed, 12 Jul 2006 17:09:07 +0000

Finally some relief - the Texas House of Representatives approved, 139 votes to five, an 11% cut in property taxes. Now the bill goes to the state senate and the governor. If passed, the bill will give school districts around $2 billion from the state's surplus. Most districts across the state are taxing property owners close to $1.50 per $100, which is the maximum amount allowed by the state. Let's hope we get the relief that property owners need.

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Texas Property Tax Cut

Private Annuity Trust

Real Estate Pro — Wed, 12 Jul 2006 17:09:06 +0000

The Newest Exit Strategy for Real Estate The Private Annuity Trust By Christian Ramsey What would you think if I told you that you could sell a highly appreciated property, not pay any capital gains tax or depreciation recapture costs, and not be forced to buy another piece of real estate? The PAT is a tool that defers the capital gains tax in a fashion very similar to an Installment Sale would and completely avoids Depreciation recapture costs.

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Private Annuity Trust

Proposed Elimination of Home Mortgage Interest Deduction

Real Estate Pro — Tue, 27 Jun 2006 19:46:32 +0000

The President's Advisory Committee on Tax Reform has recently proposed eliminating the home mortgage interest deduction, along with deductions for property taxes and state and local income taxes, and replacing these deductions with tax credits. Although I have not studied the FairTax proposal, the idea of not having to prepare and file an annual federal income tax return for myself and my two businesses sounds quite appealing.

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Proposed Elimination of Home Mortgage Interest Deduction

Who Wins: Discount Brokers or Six Percenters?

Real Estate Pro — Wed, 21 Jun 2006 20:54:36 +0000

As far back as 2004, the smartest realtor I know told me he wouldn?t pay IAC for client leads because RealEstate.com referrals were always for buyers, and he had all the buyers he needed. The much more ominous thing for highly paid brokers is that now nearly a quarter of buyers, according to the head of one discount brokerage I interviewed, buy a specific home they found online themselves.

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Who Wins: Discount Brokers or Six Percenters?

Michigan Principle Residence Exemption - What You Need to Know

Real Estate Pro — Tue, 20 Jun 2006 19:44:46 +0000

Additional guidance is contained in the instructions for completing the Homeowner's Principle Residence Exemption Affidavit. An owner can only claim a principle residence exemption if, as stated in the affidavit, the property being claimed is actually one's principal residence, which is described as "the place you intend to return whenever you go away.
..which you do not occupy as your principal residence may not be claimed."

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Michigan Principle Residence Exemption - What You Need to Know

Stairway to heaven

Real Estate Pro — Thu, 11 May 2006 23:30:15 +0000

The realtor's choice of photo says a lot about a property. With a photo like this one, you just know that this has got to be a classic PoS. Desperate to find something positive to say about this one bedroom LA apartment, the realtor claims that the "courtyard has lots of greenery and flowers." Desperation did not just infect the realtor.
Like so many of today's listings, the valuation for this PoS just does not make financial sense.

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Stairway to heaven

Happy April 15th this weekend. Anyone else see a problem with tax-free windfalls on housing sales?

Real Estate Pro — Thu, 11 May 2006 23:30:14 +0000

I buy a stock for $100 and sell it for $100,000, I pay capital gains tax (as I should) on the gain.
I buy a house for $100,000 and sell it for $200,000, as long as I've been there for two years, I get the $100,000 gain (less costs) tax free.

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Happy April 15th this weekend. Anyone else see a problem with tax-free windfalls on housing sales?

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Real Estate Pro — Thu, 11 May 2006 02:43:11 +0000

Just returned from traveling, and we must report that real estate is still the "hot topic" of conversation! Prices, continued development and construction, and... gas prices! That's right - gas and real estate.
Not only is the price of gas affecting the cost of commuting, but also the dollars spent on housing. By taking precious dollars out of one's wallet to pay for gas, there is less money left in the budget for housing.

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Title Unavailable

Real Estate Pro — Thu, 11 May 2006 02:43:11 +0000

Consider the tax burden. When deciding where to live, or possibly where to retire, you might want to look at the tax burden. First, the U.S. Census Bureau has recently published an interesting chart: States Ranked by Total Taxes and Per Capita Amount: 2005. The Tax Foundation publishes an interesting study, ranking states by the amount of taxes one pays in that state: State and Local Tax Burdens Compared to Other U.S. States, 1970-2005.

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Buying and Selling: The Realtor Curse II

Real Estate Pro — Wed, 03 May 2006 21:14:53 +0000

Remember my friend who was selling her home in upstate N.Y.? Seems her realtor--a former co-worker (Warning sign #1)--nearly bollixed her entire home sale by inexplicably overestimating her buyer's potential property taxes by almost $3,000, then demanding to keep his commission!
She managed to restore the sale, took a minimal financial hit, and reported his behavior to his brokerage, the Greater Rochester Realtors Association, etc.

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Buying and Selling: The Realtor Curse II

Housing News: Now 100% 75% Bubble Free

Real Estate Pro — Wed, 03 May 2006 21:14:52 +0000

Follow the money trail--if using legislation and advocacy doesn't work, pressure the lenders to make changes or have them be embarrassed through exposing their risky portfolios. And the National Association of Home Builders said the industry could be in danger of losing a significant portion of its labor force if immigration reform doesn't include a guest worker program and a program to address illegal immigrant issues.

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Housing News: Now 100% 75% Bubble Free

Why Mexico Has Come Of Age As Retirement Property Market

Real Estate Pro — Mon, 01 May 2006 23:52:56 +0000

Brought to you by Why Mexico Has Come Of Age As Retirement Property Market BY DAVID DEVOSS FOR INVESTOR'S BUSINESS DAILY Posted 4/20/2006 Fifteen years ago, San Felipe was an impoverished Mexican village at the northern end of the Sea of Cortez. Reforms in 2003 provided for regulation of Mexican real estate agents, ethical guidelines for property developers and recognition of U.S. title insurance.

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Why Mexico Has Come Of Age As Retirement Property Market

Condo Conversions Revert to Rentals

Real Estate Pro — Mon, 01 May 2006 23:52:55 +0000

ET April 16, 2006 Six communities with 1,571 units - three in Broward and three in Palm Beach County - have made the switch from condo conversion sales back to rentals. "A bank that is asked to change a short-term loan for a conversion project to a longer-term loan for a rental project would also probably want to recoup those lost partial release fees at the time of the new loan," Dockerty said.

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Condo Conversions Revert to Rentals

New Homes, Condo Now More Likely to Have Telecom Bundle

Real Estate Pro — Mon, 01 May 2006 23:52:55 +0000

Roseland Property Co. has set up such telecom services for its apartment buildings since 2001, said Josh Katz, vice president of development and technology for the company, based in Short Hills, N.J. Roseland has taken advantage of telecom competition in recent years, which has made underdog providers hungrier for business and more willing to discount rates to score large groups of customers.

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New Homes, Condo Now More Likely to Have Telecom Bundle

How Much Will a Home Cost You?

Real Estate Pro — Thu, 20 Apr 2006 21:45:18 +0000

Just some rough, ballpark numbers (using a fixed, 30 year mortgage rate) -
A home loan of $100,000, with a 6.5% interest rate will cost you $632 a month in principal and interest ONLY (not counting taxes, insurance, escrow, closing costs, etc. here).
A home loan of $200,000 at 6.5% interest will cost you $1264 per month (again, principal and interest only).

Tagged: taxes

How Much Will a Home Cost You?