Are Your Property Taxes Too High?

Are Your Property Taxes Too High?

 As we head into the beginning of 2014, a question I usually get this time of year from clients who have either bought homes or are selling homes is, “How to I change or fight my real estate tax assessment?” They may think the assessment is either too high or too low. Unfortunately, it’s not as easy as just calling the assessor in your city and town telling them your taxes are too high. They have specific scripts they’re going to give you on why they can’t change your taxes, and they’re pretty good at it!

What you actually have to do is make a formal adjustment and this is allowed in the beginning of the year. Most municipalities require you to do this before April and in some cases, March or May. What you want to do is call them and tell them you want to make a formal adjustment to your tax assessment. You will need to bring an independent appraisal that shows your tax assessment is too high or too low or some comparable sales of similar homes in your neighborhood. As a client watching this video, this is something we can help you with here at the Roth Team.

Speaking with personal experience, when you go into the formal meeting you have to show the city assessor the comparable sales. Another good basis for you is that if you have recently purchased the home within the last year or two, you can use the purchase price that you paid for the home as the basis. However you will still need comparable sales or an independent bank appraisal.

By doing that, you will get your tax assessment adjusted to today’s value which could decrease your taxes if the assessment goes down or raise your taxes if your assessment goes up (which I wouldn’t recommend). Again, to do this you want to make a formal adjustment with the local municipality.

If you have any questions about this, please give us a call at (262) 797-6453. Thanks and have a great day!

What Can You Expect in 2014?

As we’re headed into the 2014 real estate season, clients have been asking me about what they can expect with the prices and interest rates in the New Year. The good news is that in 2013, we saw prices go up. In most (not all) of the Greater Milwaukee Metro area, we saw 4-8% price increases. For our area, the experts are predicting 3-4% increases in price in 2014.

As for interest rates, rates are now 1% higher on 15 and 30 year fixed rate loans than they were a year ago; which is still very affordable! From what I can see, as prices go up, interest rates will also rise about 1% this year. Another factor that affects pricing is inventory levels. Right now, our inventory level is the lowest it’s been in 7-8 years. Back in 2010 in the Greater Milwaukee Metro Area, there were as many as 11,500 single family homes for sale which made for a 14 month supply of inventory. As of now, we’re down to 7,800 active listings with only a 8-8 ½ months of inventory. As inventory goes down, prices should go up.

If you’re thinking about selling, now would be a great time to do so. If you’re thinking about buying, you should do so sooner rather than later to catch interest rates before they rise. Whichever it may be, the Roth Team would love to help. Thanks and have a great day!

10 Reasons Why You Should Sell During the Winter Months!

10 Reasons Why You Should Sell During the Winter Months!

Today I wanted to speak with you about a big topic this time of year which is whether or not you should sell your home during the holiday season. To answer this, I have ten great reasons why now is the time to list and sell your home! There are a lot of myths out there that homes don’t sell during the winter months, but the reality tells us something different. According to our MLS statistics in the Greater Milwaukee Metro Area from December 2012-February 2013, there were almost 2,500 single family homes that went under contract.

The ten great reasons to sell now are outlined below:
1.    People who are looking for homes this time of year are more serious buyers.
2.    The serious buyers have fewer homes to choose from. Our inventory level right now is the lowest it’s been in seven years. This is a great time to be a seller!
3.    Since the supply of homes has dramatically dropped and will increase in the spring by 25-30%, there will be less demand for your home when there is a larger supply (less demand = less money for you).
4.    Buyers have more money to spend this time of year. Where does this money come from? Tax returns, bonuses and also pay increases come this time of year.
5.    Buyers have more time to shop during the holidays/winter then they do during the summer.
6.    Some people must buy a home before the end of the year for tax reasons.
7.    December and January are prime job relocation months.
8.    You can still be on the market during the holidays and restrict showings on specific days.
9.    You can sell your home now for money and move in the spring. This can be worked out during negotiations.
10.    If you sell now, you have the option to be a non-contingent buyer in the spring when the supply of homes increases. This allows you to sell high and buyer low.

If you’re considering selling now or before spring, give me a call to take advantage of any of the reasons above. Thanks and happy holidays!

5 Reasons Why Now is the Time to Buy

Hey, guys! Thanks for visiting my real estate blog!

Everyone always wants to know when the best time is to buy a new home. They want the best deal at the best time. Well, I have a list of five reasons why NOW is the time to buy.

1.    Prices are increasing. Median prices in the greater Milwaukee have gone up in some areas as much as 10 percent and they are continuing to increase.

2.    Interest rates are still historically low. Although, rates have increased by about a point, they are still lower than we could hope for! When my wife and I bought our first house, we had an option of 18.5 percent fixed rate mortgage!

3.    It’s easier to get a mortgage. Banks and lenders are soliciting money for buyers to purchase a home. If you have a job, good credit score and a good down payment, you can buy a home!

4.    It’s still cheaper than renting. Renting has gone sky high. That means you would be paying the same amount to rent as to buy! And if you rent you don’t get all the tax benefits as a homeowner would!

5.    You aren’t competing with as many investors. When foreclosures and short sales were occurring more often, a lot of investors were involved in the market. Now, you don’t have as much of that competition.

These are five reasons you shouldn’t wait to buy a home! Please call me if you have any questions or if you are thinking about buying and selling!

Milwaukee Market Update August 2013

Milwaukee Market Update August 2013

Hey, everyone!

We’ve had a lot going on in our market lately. Throughout the summer you may have seen different articles in the Milwaukee Journal talking about activity in the real estate market.

In June an article titled, “Is the Buyer’s Market Ending?” was published. To answer that question, it is ending. At the time the article came out, sales were up 15 percent.

Another article came out in July talking about the increase of sale prices. Prices were up 12.3 percent from July of last year.

Then, in August, sales were up 18.7 percent and prices were up 9 percent. What does this mean?

We are seeing a shift from a buyer’s market to a seller’s market. Why is this? In 2011 we had a total inventory of around 11,380, that’s about a 10-month supply of homes. Now, though, inventory is at 8,840 with only about a 5-month supply. That’s half!

Because there are fewer homes available, it drives prices up. This is the perfect time to sell your home. The average days-on-market is only 69!

This is still a great time for buyers, though, too! Interest rates are historically low and while buyers won’t be able to negotiate as much with sellers, they can still get a fantastic price.

If you have any real estate questions or know someone who is ready to buy or sell, give me a call!