Moving to the Triangle - Real Estate insanity

[budwom]

As someone who lived in Vermont twenty years ago, I recently browsed Zillow for Burlington and HOLY SCHAMOLY! You folks have really had skyrocketing prices. You put Asheville to shame. The house across the street from where I used to rent an apartment on Buell Street is going for 3/4 of a million.

overall the state values have gone up a lot, but the numbers in Burlington are indeed crazy. Nice place to live, lots and lots of well funded students (who almost all rent off campus) and a tremendous lack of new housing...vacancy rates are around 1%, so yeah, the prices have gone nuts...glad I live outside town.

[Bluedog]

the point I was getting at is the timing issue. You buy a house that was $500k last year but is $600k now, it's appraised as such (often new appraisals just reflect the new sale price) and yet the identical house next door is still appraised at $500k.

Revenue neutral appraisals can be tricky, and there's a horrible one burgeoning in Burlington, VT. Yes, ordinarily if everyone's appraisal goes up 20% in a town-wide appraisal, your taxes should remain about the same. Burlington's mayor announced the city's big new appraisal would be revenue neutral. What he failed to emphasize (and he's going to pay for this) is that appraisers decided that commercial property lost value during the pandemic (lost business, rental income, etc) but residences increased in value...so in general most homeowners are going to see pretty substantial increases in taxes while commercial properties will see a decrease. Revenue neutral, yes, but very controversial (once people realize how it works).

My county did the opposite in 2020 with a residential COVID impact reassessment for residential properties, reducing them about 10% across the board while keeping commercial properties at the same assessment value. They announced it in like April 2020 when basically things shut down but probably acted too quickly. However, get reassessed every three years so will adjust closer to market reality shortly here...

Although taxes by me have gone up about 100% over the last decade or so which has certainly put downward pressure on price appreciation.

#crookcounty

[Acymetric]

Sample size of one: rent is going up 20% this year.