Getting Through a Tax Appeal; How To Request Property Taxes Reassessment

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Now that the holidays are over, what comes next?  It is the beginning of tax season.  And property taxes are no stranger to this time of year.  As expected given the tumultuous past years we have collectively faced after the real estate bubble burst a while back, many homeowners want to make sure they are paying the right amount of taxes on their property.  If you are unsure as to whether your property taxes accurately reflect the current value of your home, you can request the County Board to reassess the current taxes you are paying.

Even though it may sound like a lot of time between now and April 1st, the deadline to submit your application can creep up very quickly, leaving you in the dark with not enough time to prepare.  Here are some valuable tips on how to prepare for a tax appeal request along with some important links that will provide further information on the process.

For Tax Appeal Success, You Need Evidence

Until and unless you provide the board with valuable, viable information that supports your claim to have your home’s value reassessed it likely that you will not be too successful.  The key is providing evidence demonstrating that other, like kind properties in your area have recently sold for amounts that are far less than your current property value.

In the real estate industry agents and other professionals often deal with “comparable sales” reports.  These are detailed reports that derive what the value of a home should be based on other similar homes that have the same profile.  This profile could be amenities, number of bedrooms and bathrooms, square footage, type of structure, type of garage, location, school district – a number of factors.  Realtors aptly perform a comparable sales analysis since they are well versed in the area and have a vested interest in understanding their neighborhoods’ property values.

Realtors know and understand the ins and outs of such procedures as applying for a reassessment of property taxes.  Both agents are attorneys, for different reasons, offer valuable insight and experience into the process. Important details like the fact that comparable sales must include sales that took place in the year preceding the current tax year and only through October 1st, can be missed if not managed by a professional.  For this reason, it is always a good idea to have that professional backing when you are filing for a tax appeal.

How Can a Professional Help With Filing a Tax Appeal?

Whether assisting homeowners will filling out the petition of appeal form submitted to the board, coming up with a tax record sheet showing the current assessment on the land and building or establishing the perfect comparable sales data – working with a Realtor (supplemented with an attorney) is ideal.  Not only do your chances of successful reassessment significantly improve but also if there are any roadblocks along the way you have knowledgeable support alongside you.
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If you have decided to pursue a tax appeal, keep in mind that just like filing federal and state income taxes, the closer you get to the deadline the longer it can ultimately take for processing.
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Here is a list of important and useful links that will guide you through many aspects of the tax appeal process.  If you have any questions, please do not hesitate to contact us and we would be glad to take this on for you!


Commissioners:  http://www.co.cape-may.nj.us/Cit-e-Access/webpage.cfm?TID=5&TPID=2815

Tax Assessors: http://www.co.cape-may.nj.us/cit-e-access/webpage.cfm?TID=5&TPID=2836

Tax Collectors: http://www.co.cape-may.nj.us/Cit-e-Access/webpage.cfm?TID=5&TPID=2913

Appeal Brochure: http://www.capemaycountygov.net/FCpdf/appeal%20brochurel.pdf

Appeal Frequently Asked Questions: http://www.capemaycountygov.net/FCpdf/FREQUENTLY%20ASKED%20QUESTIONS.pdf

Record Access Form:
http://www.capemaycountygov.net/FCpdf/record%20request%20form-psl.pdf

2009 Tax Rate Summary: http://www.capemaycountygov.net/FCpdf/09%20Tax%20Rate%20Summary.pdf

What To Expect in Real Estate for 2012 – Jeff’s Real Estate Predictions

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Very often, Realtors are asked about the current state of the real estate market and though it’s an ever-changing industry involving volatility at times and major upswings at others, knowledge alone can change one’s experiences in real estate. ( I did this last year as well. Check out my 2011 predictions here.) So to provide some insight and guidance into what we can expect to see in the coming year.  Based on years of experience and after following trends that have led us up to this point, here are ten real estate things that I predict will be occurring in 2012.

Unremarkable Appreciation Values

Even though we can see the market heading in the right direction, it appears that 2012 will be yet another year where there will be little to almost no appreciation on properties.  Prices will continue to fall, often as a result of buyers bidding that driving down the very prices they are concerned about as homeowners.   Keeping in mind that still more inventory will be coming in this year, noteworthy appreciation is still a thing of the distant future.

Unscrupulous Short Sale Activity

Surprisingly, there is a lot of short sale fraud going on in the nation and as short sales continue to control a sizable portion of the market we will continue to see fraudulent activity in that area of real estate.  Seller payoffs by investors wishing to cash in on short sale deals, secondary lien holder payoffs or cases where a buyer purchases a short sale only to resell it back to the seller again – all are examples of what we are seeing and what we will see more of in 2012.

Government Programs Providing Little Relief

Though their hearts are in the right place, government agencies that are providing relief through programs such as HARP (Home Affordable Refinance Program) will continue to offer them however homeowners will receive little relief.  Loan modification programs stop the bleeding but they do not reduce the principal, effectively leaving homeowners to find themselves in default once again.

Bulk Foreclosure Sales

There has been significant controversy over the term “shadow inventory” in the recent past and this coming year a lot of this shadow inventory will find itself on the market.  Banks will unload many foreclosure properties on the market this year, selling them in bulk with the intent to sell them quickly and more efficiently.  The sale prices will also reflect this convenience for banks with discounts for buyers buying several properties at one time.

Short Sales On the Rise

As we have seen during the past few years, short sales have been a popular solution for homeowners facing default and a favorite for buyers looking for a great deal on a home.  In 2012 we will see short sale trends continuing to rise.  Looking at the numbers from 2009 to present, there is a huge upward trend on short sales that is predicted to be as many as 150,000 this year.

Veteran Loans Increasing

Now that the war in Iraq is over we will see a large number of veterans returning from overseas looking for housing.  Loans supported by the Veterans Administration will be on the rise this year across the nation with such benefits as no down payment or waived funding fees.

Lease Option Sales Offered By Banks

A new, and very viable, alternative for homeowners facing foreclosure is the concept of lease option sales.  More and more lenders are offering this option to homeowners as a chance for them to rebuild their financial lives yet remain in their homes.  Banks go ahead with foreclosure but then offer the same home back on a lease option.  With demonstrated timely payments as they rebuild their credit, homeowners will have a chance to buy back their home.

Renovations and Remodels Replacing New Purchases

The economy is improving but ever so slightly and as we deal with still very high unemployment numbers, the trends in real estate that is currently owned will reflect that.  Rather than move into new homes, we will see homeowners working to repair or renovate their existing homes to save money.

Mortgage Holders Will Move to Shorten Terms

Interest rates have been in the news for a long time and they will continue to dominate the real estate industry.  With no immediate change in the history low interest rates we have been seeing for the past two years or so, more and more people will move to shorter amortization terms and effectively pay their homes off in half the time, if not more.

Surge in Second Home Sales

Given the ripe market for buyers we will continue seeing a huge surge in the purchase of secondary properties this year.  Whether looking for resort locations, vacation properties, rental properties or even retirement homes – consumers will take advantage of the low prices, low interest rates and high inventory.

Happy Holidays from The Jeff Quintin Super Real Estate Team!

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As we approach the turn of another great year together, I wanted to wish you and your family on behalf of my team, our families and I – a wonderful holiday season. As always, we are ever thankful for your presence in our lives and strive to continue our lasting relationship. May you and yours enjoy good health and prosperity – now and always. We’ll be back in 2012 with a whole new insight, plus lots of perspective and ideas on your real estate endeavors. Happy Holidays!

Sell Now, Then Enjoy Next Spring & Summer As a Successful Seller

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Why is there such a stigma against selling your home in the cooler months of the year?  Sure, it may not be as easy to jump in one’s car and drive over to the next open houses, but if you think about it – there is really no reason why a home couldn’t sell just as easily during the off-peak season as it does in the spring and summer.

One of the most common things we see as Realtors is that homeowners will list their home on the market – and given the state of our market lately – if it doesn’t sell within a certain time frame leading up to the fall season, they proceed to take the property off the market.  The general consensus is that there will not as many buyers out there and since the market will be slow, best to wait until things pick up again.

This school of thought is contrary to what most real estate agents already know.  When you get into the months that end in “er” (September, October, November, December) and onwards, the buyers that are looking are truly serious contenders for the properties that are currently on the market at the time.  As a seller, nothing could be better for you than knowing whatever offers are coming are solid, quality offers coming from people who have made the effort to seek out the perfect property despite the cooler weather, holidays or lesser inventory.

The single best advantage you will have over others if selling during the fall and winter seasons, is to be able to gain exposure to quality, serious buyers.

Serious Buyers Have Less Homes to Consider

Keep in mind that come early spring when everyone else jumps on the bandwagon and lists their property, there will suddenly be an influx of new listings and equally, if not more, new buyers to go along with it.  More competition? Sure.  But it also means that you will have a lot more browsers rather than actual prospective buyers.

Fewer Inventory Means Your Home Can Be One of the Better Properties

It goes without saying that the more competition you have, the harder it will be for you to sell your home.  When your home is listed during less busy time of the year in terms of real estate, your chances of being a stronger contender are significantly higher.  Yours will likely stand out from other properties and you will have the opportunity to have one of the better ones available to buyers looking to close on a deal now.

Market Conditions Are Ripe for Buyers and Buyers Know It

Many potential investors and existing homeowners are seizing the opportunities that present themselves these days given the record low interest rates as well as significantly lower property values.  Oftentimes the people seriously looking to buy are either upgrading into a new property or they want a second or subsequent one.  These buyers know that the current market conditions will not last forever and they are ready to purchase the right property when it comes along.

Rental Homes Are Done Earning Peak For the Year

Owners of rental properties often use the home during off-peak times of year.  Since the end of July and early August provide the biggest yield in terms of rental income, by the time the fall and winter months approach, the owners utilize that income to carry them through the rest of the year.  While they are enjoying one of the most beautiful times of year in the area, they begin to look for new opportunities; once again – a very high quality buyer profile.

A Look At How the Numbers Compare

Since it is a common misconception that more homes sell or at least a lot more homes sell in the warmer months of early spring, a look at the numbers provides a good benchmark for sellers to gauge the so-called “huge” difference.

As of the end of November, 2011 the total number of homes listed for sale and currently on the market in our area was 1,037.  If you go back to April of the previous year, what would demonstrate a fair assessment of how the market might perform in the coming year at the same time, the number of homes on the market was 1,187.  In other words, there were only 15% more homes on the market in the spring (2010) as compared to the fall/early winter 2011.

Focusing specifically on Ocean City, in October of this year the total number of homes sold was 56.  And very surprisingly to those who still feel off-peak season is off-limits, the number of homes sold in April of 2010 was also 56.  The one major difference between the two times of year is inventory levels.

Now, why wouldn’t you want to be among a smaller pool of available top-quality homes?  Put your home on the market – and leave it for sale during the whole time – and you will very likely sell your home faster than you imagined.

The Little Known Secret That Will Get Your Home Sold

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We all want our real estate buying and selling transactions to run smoothly, efficiently and with minimum hassle.  This holds true even more so these days with the real estate market the way it has been lately.  With just a few simple things, many buyers and sellers today have a huge hand in how their transactions end up happening and as a seller there is one thing you can do that will sell your home in less time, get you more money and in a way that everyone is happy. 

The Big Secret is to Be Prepared in Advance

Sure it makes sense to be prepared to sell a home in the traditional ways, such as cleaning up all the extra clutter, making it ready to show to prospective buyers and sprucing up the home’s curb appeal.  But market-savvy sellers are going one step further.  Instead of just relying on what they think might be the issues that need resolution prior to sale, they are going out and actively trying to find out.

Get a pre-sale home inspection done, saving you lots of money on the transaction and potentially saving you the risk of losing the sale altogether.

With things the way they are in the market today, plus as we head into the cooler months and slowing down sales – now is a time when there is a lot of seller and buyer remorse going on.  Sellers feel they are getting a bad rap with the amount of concessions they have to offer in order to get their home sold.  Meanwhile, buyers get upset when they go through all the motions only to find that after having a home inspection done they have uncovered some concerns and want to renegotiate the price. 

The simple secret that many successful sellers engage in is to have their own pre-sale home inspection performed.  Whatever the items are that show up on the inspection report can then be included in the seller’s disclosure.  Not only that, the existing homeowners can then work to address the issues that seem like potential deal breakers.  In case potential buyers request further information about the items on the report – anything that has been resolved by the seller after the fact can be proven with receipts and contracts from contractors.

Home Inspections Will Typically Uncover Structural, Maintenance or Aesthetic/Cosmetic Concerns

Another advantage the seller has by being able to present a completed home inspection report done by a certified, local home inspector is that buyers will be more confident in the sellers’ disclosure.  It demonstrates integrity on the part of the sellers to present a full report on their home from top to bottom.  There are several levels of inspections that can be requested and depending on the amount the seller is willing to spend, they can provide detailed reports on many systems of the home, including plumbing and electrical, water and sewerage, foundation, structure, heating and cooling plus aesthetic aspects.  All systems in the home will also be checked for adequate functionality.

A Little Investment Goes a Long Way

It does not cost a lot of money to have a home inspection performed on your property.  By spending no more than a few hundred dollars you can count on selling your home for a better price, often a premium price that might not have been possible without a formal inspection report and corresponding repairs.

The single best reason to engage in this technique to successfully sell your home is to prevent the premature fall-through of your home’s sale.  Since buyers today have the upper hand in this soft real estate market, you need to have an edge over others sellers because they can easily lose interest and move on to the next prospective property on their list. Demonstrating you are serious about selling your home, a home inspection only makes it easier for all sides of the transaction – not to mention that buyers will be requesting a home inspection at some point in the process too.
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Most Realtors have a list of preferred vendors who are local and that have served their area for many years. To find someone within the preferred vendor circle of your Realtor, ask for a list of their contacts and request a reference as well.

A Bird’s Eye View Comparison of Prices, Rates and Costs Clearly Shows Today’s Golden Opportunity

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Typically homeowners and potential homeowners measure the financial viability of their purchase in two ways; the price of the home and the monthly payment. Very surprisingly to most, they both do not depict the same overall picture when examined in comparison to other factors affected by the current economy at the time.

To help illustrate exactly what benefits lie in seizing the low interest rate and housing price opportunities that are out there right now, we’ve assembled a simple comparison chart (also explained on the video blog). This chart shows you exactly how much you are getting for your monthly payment. If you haven’t been convinced already, this will surely convince you that buying now is the single best thing you can do for yourself and your family.

	1989	2010	2011
Bread (one loaf)	$0.67	$2.49	$2.49
Gasoline (one gallon)	$0.97	$2.73	$3.87
New Car (average)	$15,350	$28,400	$28,400
Median Home Price	$94,000	$173,000	$156,100
Mortgage Rate	10%	4.69%	4.91%
Monthly Payment	$825	$896	$829

As a Realtor, the most exciting thing to witness in terms of how much (or how little, I should say) it costs each month to be in a home these days. The reason this is especially exciting is apparent when, looking at the chart, the other things are compared.

Living Today With a House Payment From Yesterday

Take a look at what happened to the average cost of a new car between 1989 and today. It jumped up to a few hundred dollars short of double the average price! Bread rose in price almost four times as much and the same holds true for gasoline. But what is very interesting is how the numbers look for housing, mortgage and monthly payments.

What you’re seeing is mainly a demonstration of just how significant the impact of interest rates is on relative affordability for housing. Despite such huge jumps in cost for the other items on our chart, the median home price has increased 70% and interest rates are at less than half of what they were twenty-one years ago.

In fact, the most noteworthy figure that does not deviate at all from that of almost a quarter century ago is the monthly payment. A very eye-opening way to say this: you can buy a home today and pay the same monthly payment as in 1989.

Pick Your Battles When Negotiating

Considering how the market is today and the impending rise of interest rate that will occur – it is imperative that homeowners, potential buyers and investors keep their eyes on the prize when it comes to negotiating a final price. There is nothing more disappointing for me as a Realtor than to see a buyer wasting the long-term savings and investment opportunity that is gained by these low rates and prices, on a few thousands dollars or a couple percent of the total price. If you work out the numbers, there is a very good chance that the savings from today’s interest rate alone will pay you back multiple times over the years. To calculate this, use an online tool to estimate your amortization schedule. You will be surprised.

Remember, if you compare the difference between a slight decrease in the price of a home versus a slight increase in interest rates – there is a far more significant impact on the overall cost of the loan with the interest rate increase.

Things Will Not Stay This Way Forever

We have been watching the market continue to allow us fantastic rates for several years now but when you factor in the financial volatility we are experiencing lately, with the stock market as well as the overall economy – there is no telling just how soon those interest rates will creep back up. Not only that, let’s hope they don’t go back up to the astronomical rates we saw in the low to mid- 80s, reaching levels as high as 18%!

People who are in tune with the ins and outs of the real estate industry are buying and investing in homes as much as they can these days. Top Realtors, including myself, are taking advantage and getting into second homes, vacation and rental properties and anything else they can afford at the moment. At the end of the day, these properties will appreciate. The market will recover. And those people who were smart enough to get in on the action today, will end up with low, locked-in mortgage rates and monthly payments plus plenty of equity in homes worth far more than they are today.

Update on Hurricane Irene

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I am writing this to you at 7:47 AM Friday August 26, 2011.  Here is the latest up to date information and recommendations regarding hurricane Irene.

City officials have announced a mandatory evacuation as of 8 am this morning. This does not mean that you have to be off the island by 8 am. This simply is the start time of the evacuation. The island is 100% accessible and will be all day and into tomorrow am. If you have tenants coming to check into your property for this Saturday check in, please tell them that Monday is the day to come down and check in.  depending on the storm, access on Saturday on the island will be limited. The city encourages all home owners to come to the shore today to secure your property. Here are the following recommendations:

1. All outside furniture stowed away, removed from all decks.  Anything that can blow off your deck secure and or stowed inside.

2. All items that are in the garage and around the property on the ground level, get up off the ground and put up high.

3. If you have a boat, get it out of the water today.  All public boat ramps are open, free and accessible.

4. Take pictures of the inside and outside of your property and all personal property.  Use a digital camera with a date on it.

5. Make sure all your insurance is up to date, and bring all the documents with you so that you have them in a safe place. McMahon and Heist Ins. Agencies also have information on their websites.

6.  If property typically doesn’t get water at high tides and storms, act as though it does and get everything up off the ground.

On Saturday sometime in the late am or afternoon (city officials are waiting to see what time) the ocean city bridges inbound will be shut down.  Only outbound will be open, so once you leave, you will not be able to re-enter.  If anyone decides to ride out the storm and not leave the island,  the city will not guarantee if there is an emergency that the calls will be responded too.  It is possible that 911 calls may not get answered.

City officials and emergency management are watching the hurricane, and expect either tons of rain and wind, or heavy storm surge with flooding and major high tides.  Depending on if the eye of the hurricane passes us either on the left or the right.

THE ISLAND IS OPEN TODAY, AND ACCESSIBLE.  COME DOWN AND SECURE YOUR PROPERTY TODAY.   If there is any further updates I will send another email. Also will be sending a voice broadcast to you as well.

Be Safe!