Comments on: Lake Norman Real Estate: Are Foreclosures Driving Our Current Market?

By: Lake Norman Real Estate’s February 19, 2010 Hot Sheet | Lake Norman Real Estate and NC Homes for Sale

Sat, 20 Feb 2010 15:34:33 +0000

[...] Lake Norman Real Estate: Are Foreclosures Driving Our Market? [...]

By: Diane Aurit

Diane Aurit — Sun, 31 Jan 2010 21:11:17 +0000

Stan,

Thank you for weighing in on our market. I agree with you regarding tax values. They are so inaccurate not only based upon the year of the latest assessment but based upon how old the property is. My clients are finding it nearly impossible to appeal their current tax bills so going forward we will see properties assessed too low AND too high.

That said, I do look at the assessed values whenever I am quickly trying to guess whether the seller is upside down/has negative equity. It usually holds true that if the assessed value is higher than the listing price then the property is most likely listed below what the sellers paid for the property. While not 100% accurate, it is helpful.

By: Stan Suther

Stan Suther — Sat, 30 Jan 2010 20:51:55 +0000

Great article and research. It’s interesting when talking about tax values to note the date of the latest assessment. So much has changed in the last couple of years regarding real estate values, there are many reasons for the tax value to be higher than sales now. Sometimes I see descrepancies on reporting the actual assessment year depending on the database, and that can make a huge difference in the perception of the relative accuracy of the tax value. That’s just more reason to pretty much ignore tax value when talking about current market value.

By: Diane Aurit

Diane Aurit — Sat, 30 Jan 2010 16:52:11 +0000

Yes Jody, you can definitely assume that all of the shortsales and foreclosures sold for under tax values!

By: Jody Campbell

Jody Campbell — Sat, 30 Jan 2010 00:10:08 +0000

Great and informative article. Is it correct to assume that most (if not all) of the foreclosures and shortsales were also sold at prices below their tax values? If so that means that 77.5% were under tax value which is interesting.