When The Bottom Falls Out ....

two years ago you could buy a half acre here for 25 thousand , now its 125 thousand

DiyDave wrote: Trolling for political comment?  Post it downstairs!

Interest is rising it will happen soon.

Three years ago we bought land with 1/4 mile of road frontage for $3375/acre. Land down the road with no frontage, only easement, and terrible topography is going for over $11k/acre. People are just stupid I guess

With fuels including LP gas at all time highs, with labor shortages and materials prices still excessively high for building repairs, with travel times to work getting worse with horrid roads conditions we are now seeing a down turn in Realty sales, not stopped but slowing.  Not far from here at Union/Washington/St. Clair area are properties speculators bought as the prices started to escalate, they are now seeing stranded investments as cannot get moneys spent back and are pulling properties Off Market. 

Edited by DMiller - 07 May 2022 at 7:27am

Biggest problem of these High Dollar sales is as noted, Tax Time rolls around if cannot get in on a Homestead Act Tax limiter then can possibly force sales of lands or properties as become untenable due to just Taxes due every year.  Our farm ground tax did not rise significantly YET, went up just under $50 this time, the House and none Acres went up drastically, with land sales at all time highs per acre was warned by Tax Assessor clerk may see it Double Next year.  Have friends one county over that HAD a modest 1460sf home on ten acres, had paid more tax than we do on the farm and bigger house with three outbuildings but this last assessment put them now beyond Double what we paid, their fears are justified as they too are on Fixed Income so applied for Homestead Act limit and were DENIED.  They since sold out and moved to NM as tax system there is quite less extreme yet are still quite UNHAPPY had to leave their home of 26 years due to Tax rises.

Edited by DMiller - 07 May 2022 at 7:53am

DMiller wrote: Biggest problem of these High Dollar sales is as noted, Tax Time rolls around if cannot get in on a Homestead Act Tax limiter then can possibly force sales of lands or properties as become untenable due to just Taxes due every year.  Our farm ground tax did not rise significantly YET, went up just under $50 this time, the House and none Acres went up drastically, with land sales at all time highs per acre was warned by Tax Assessor clerk may see it Double Next year.  Have friends one county over that HAD a modest 1460sf home on ten acres, had paid more tax than we do on the farm and bigger house with three outbuildings but this last assessment put them now beyond Double what we paid, their fears are justified as they too are on Fixed Income so applied for Homestead Act limit and were DENIED.  They since sold out and moved to NM as tax system there is quite less extreme yet are still quite UNHAPPY had to leave their home of 26 years due to Tax rises.

 

Property taxes are one thing not a disaster yet in Calif. A open space contract to not subdivide that taxes are based on production of ag land, and the Prop 13 from back in the late 70's. Under 13 taxes can only raise 2% a year until you sell it. New owner starts at purchase price as valve of property. So those that are new owners pay more than if you lived in the house 40 years.  So the young are so dumb  they may vote prop 13 out just to get those old people that live next door and only pay 10% as much tax on the same tract house. So under this situation you should never be taxed so you need to sell your house because taxes went to high.