Values Down, Taxes Up
The market value of all property around the city is forecast to decline between 2009 and 2010 but property taxes that the city collects will rise 10 percent, according to the Independent Budget Office. The current issue of the Gotham Gazette examines why that’s the case. The main reason is that increased market values are…
The market value of all property around the city is forecast to decline between 2009 and 2010 but property taxes that the city collects will rise 10 percent, according to the Independent Budget Office. The current issue of the Gotham Gazette examines why that’s the case. The main reason is that increased market values are phased in over a five-year period; each annual increase is also capped, so properties in areas that have experienced rapid run-ups this decade can take years to get caught up. The more interesting part of the article is the discussion of how the property tax system continues to favor house owners over owners of commercial buildings and co-ops and condos. The most glaring example is that one-, two- and three-family houses are assessed at 6 percent of their market value versus 45 percent of market value for the other property types. Can you imagine what would happen to the value of your typical house if its properties went up seven- or eight-fold?
Why Property Taxes Rise While Real Estate Falls [Gotham Gazette]
OK… I just looked up the taxes for the top two properties in today’s “Last Weeks Biggest Sales.”
Gowanus, 330 Carroll Street — Annual Taxes $1,821
Assessed Value $819,000, Sale Price $1.45 million
Bay Ridge, 30 88th Street — Annual Taxes $7,262
Assessed Value $1,161,000, Sale Price $1.40 million
WHAAAAAA!!!!???
So, DIBS, you may be correct in some ways… but THIS has got to point out something effed up. The Bay Ridge property has an assessed value of 41% higher than the Gowanus property… BUT… a tax liability 299% higher!!!!
What is that!?
They’re REAL value is basically the same. (By the way, both properties have the same deductions and so on) The ONLY difference is that the Gowanus property is not paying it’s fair share. And, one could argue, the Bay Ridge property is paying TOOO much.
This is apples to apples — Category 1 to Category 1.
The ability to sell C at the top tick will be as difficult as it will be for BHO and Miss Muffett to pick the bottom of the property market. Lessons to be learned!!!!!
intra-day on 4/14 was $4.48 – poor sod.
Ya know I’m just playing 😉
chicken… since this was the April CC number, most of that fall is already discounted. C is down from its high of $4.01 on 4/14 to $2.92 currently. That’s 27%.
The S&P, on the other hand hit 860 on 4/17 and is off only 1.3% from that recent high.
You should know better. Don’t bait the Asshats.
DIBS, Citi down 35% in the last two weeks – how’s that affecting confidence?
“I think not, but what the heck do I know?
Posted by: SnarkSlope at April 28, 2009 11:26 AM”
You know your own opinion – and that’s just as valid as anyone elses until it’s proven right or wrong in the future.
bodega boy…you need to understand something or you’ll remain bitter for life: Buying a home isn’t speculation.
Your anxiety seems to be growing. Me, I’m very content and am now in the process of spending another $20k+ on my facade work. Learn something for a change.
good point etson although taken in aggregate it’s still costing a lot more to live in NYC.
Even London is considered rip-off compared to the rest of the UK so I don’t think I’ll be retiring in either city – may have to think about Thailand…
> “And now its up…that’s actually quite a big move.”
Got it. We’ll see where we close.
So, do you think we’ve hit bottom yet in the stock indices?
I think not, but what the heck do I know?