Real estate brokers and agents question the accuracy of a new Web site that provides free estimates and information on more than 60 million property addresses.

Since it’s first day on the web, the site has already attracted hundreds of thousands of curious consumers. Just six hours after launching the site earlier this month, Zillow.com crashed and posted this message: “Due to overwhelming demand, our beta site is down. We’ll be back online as soon as possible. Please check with us again later.” (more…)

search for : Real estate, Zillow

If you sold your home: Most sellers can cash in one of the biggest perks in the tax code. Couples can sell their home for a $500,000 profit without paying a cent of income tax. Single taxpayers can pocket $250,000.

If you bought a home: One huge benefit of buying a home is that you generally can deduct the mountains of interest you pay. That probably means you’ll graduate into the class of taxpayers who can save more by itemizing mortgage interest, property taxes, certain loan costs and a raft of miscellaneous expenses rather than settling for the standard deduction every taxpayer is entitled to grab. But there is a limit to what you can write off. You can deduct interest on up to $1 million of so-called acquisition debt and up to $100,000 of home equity debt. (more…)

search for : home, tax code, income tax, interest, itemizing mortgage interest, loan, standard deduction, taxpayer, home equity

I’m in the middle of trying to buy a condo. So far, two appraisals have been made. The first came back “inaccurate” and was $5,000 less than the second one. Why the disparity? How does this affect me as a buyer?

It might be that the first appraisal was the more accurate of the two, but your bank would not accept it because a loan for that amount is less profitable. And that sounds harsh. But it’s becoming all too common as some lenders and agents pressure appraisers to overstate the value of a home so that they can make their numbers work a little better on a deal. Why is that? Well, if they don’t, the deal doesn’t get approved and they don’t get their commissions! (more…)

search for : condo, appraisal, bank, loan, agent, commission

Have you been to Harkers Island lately? What images come to mind? Wind-shaped oaks, sandy lanes, wooden skiffs in various stages of construction in side yards, stewed hard crabs and conch chowder at the Island Restaurant (known as “Liston’s” locally), and small trawlers in the harbor?

Harkers Island is but one example along the coastal plain of North Carolina. You name it, wealth is changing it — Ocracoke, Carolina Beach, Calabash, Bayboro, Sea Level, Columbia. On the beach and up the rivers, small village life and rural austerity wane beside gated communities, subdivisions and eight-bedroom, nine-bath “rental machine” structures — nine toilets in one waterfront house, multiplied by how many houses? Whatever the math, that’s a lot of flushing, and along with an increase in asphalt, fertilized lawns and marinas it is no wonder we are losing productive shellfish beds every year. (more…)

search for : Harkers Island, Wind-shaped oak, wooden skiff, stewed hard crab, conch chowder, North Carolina, Ocracoke, Carolina Beach, Calabash, Bayboro, Sea Level, Columbia, gated communities

What are the tax aspects of purchasing a condominium in 2005 and then renting it until I can move in?

Owning a condominium means owning a dwelling unit in a multi-unit building. You also own a share of the common areas of the multi-unit building such as lobbies, elevators and land. Dues or assessments you pay to the condominium association for maintenance of the common elements are deductible. You cannot deduct special assessments you pay for capital improvements; however, you may be able to recover your share of such costs by depreciating such costs. (more…)

search for : condominium, multi-unit building, common area, Dues, assessments, condominium association, capital improvement, depreciating

Renting can be a wiser choice than owning for many people, including those of limited means and people who expect to move shortly. There are signs that rising home prices may be leading some to choose renting over buying. The rental vacancy rate declined to 9.6% in the fourth quarter, compared to 10% at the end of last year and a high of 10.4% in the first quarter of 2004, according to the Census Bureau.

New data released late last month by the U.S. Census Bureau put the homeownership rate at 69% in the fourth quarter of 2005, down from 69.2% a year earlier. While the decline itself is too small to be considered statistically significant, it is the third quarter in a row that the rate hasn’t posted a year-over-year gain — and it’s the first time since 1994 that the rate at year-end hasn’t increased from the previous year. (more…)

search for : Renting, rising home price, ental vacancy rate, U.S. Census Bureau

A collection policy simplifies one of the Homeowner Association Board’s most disagreeable tasks: collecting money from neighbors.

There is no law that says HOA fees must be paid by check. Even the banks are pushing to eliminate this archaic form of payment. The Board can enact an policy to require that HOA fee payments be made automatically by autodebit. Payments are made directly to the HOA’s bank account so that the inevitable delay of manual deposits is eliminated. No more “checks in the mail” excuses. There are so many advantages to this collection mechanism, it should be an absolute must for every HOA whether professionally or self-managed. (more…)

search for : collection, Homeowner Association Board, HOA, checks in the mail

Will zillow.com have an impact on your buying / selling habit?

As much as computers are to be applauded, the invisible hand of automated valuations seems remarkably unsteady. Suggesting for one property a range of possible prices from $317,580 to $508,849 is a useless; no seller will accept the lowest figure and no buyer will be enticed by the highest. While it’s entirely possible to have statistics regarding past sales, lot sizes, property taxes and other objective measures, when it comes to valuations I’ll stick with local brokers and appraisers. (more…)

search for : zillow, automated valuations, lot size, property tax, broker, appraiser

Your home offers a score of tax deductions and credits designed to help offset the cost of housing and to keep the housing market fueled with new buyers.

The mother of all tax breaks is mortgage loan interest. Because interest payments comprises a large portion of your mortgage payment in the early years of the loan’s term, mortgage interest on a maximum of $1 million in mortgage debt secured by a first and second home is deductible. Deductions reduce your taxable income against which your taxes due are calculated. The $1 million level applies to joint tax filers. You get half the deduction if you file single or separately. (more…)

search for : tax deduction, housing market, mortgage loan interest, mortgage payment, Deduction, taxes

Last summer, Apple effectively endorsed the podcasting phenomenon by creating a podcast directory on its wildly popular iTunes online music store, helping to propel the technology into the mainstream.

For members of the real estate community, podcasting can be an interesting and useful tool, whether you’re considering becoming a podcaster yourself or are just content to listen to a few. Here are some possible uses for real estate; marketing. A quick search for “real estate” in podcast.net, iTunes, or any other podcast directory is all it takes to prove that practitioners and home owners alike are beginning to take advantage of this new medium. Hundreds of podcasts are available covering homebuying and selling tips, market conditions in specific local areas, viewpoints of real estate and the economy, real estate investment trusts, real estate investing, and more. (more…)

search for : Apple, podcasting, iTunes, real estate, podcaster, podcast.net, podcast directory, real estate investment trust, real estate investing