[Scott456]

comming from San Francisco, the property tax there is cap at 4% max increase per year (4% of your tax, not 4% of your property value). And when your property value decreases, you can appeal for re-assessed.
Is there something in L.V. similiar to that?

[airics]

Yes same thing but 3% owner occupied or 8% non owner occupied

[oldtrader]

airics the ONLY realtor here that says RENT don't buy.

As a retired 20 year commercial real estate broker, I say under the current Las Vegas Market, you are absolutely correct in your statement.

Anyone would be nuts to buy at this time, unless you can buy for 15% to 20% or more under the current market price.

[Willy702]

Originally Posted by oldtrader

airics the ONLY realtor here that says RENT don't buy.

As a retired 20 year commercial real estate broker, I say under the current Las Vegas Market, you are absolutely correct in your statement.

Anyone would be nuts to buy at this time, unless you can buy for 15% to 20% or more under the current market price.

What is current market price when you are buying a foreclosed property? I'd guess basically whatever price it sells at. So in effect your comment is pretty much pointless when it comes to much of the resale inventory.

Certainly one doesn't have to rush to buy a property, but I'd also say things are so far under reasonable valuation issues like replacement cost that someone who plans on staying in the house for 5 years or renting it out for cash flow during that period should come out fine. The cost to rent right now is so out of proportion to the cost of owning that a true economic valuation would suggest even if the house nets no equity gain over the 5 years they should easily come out ahead. Same goes for the landlord who can realize a good cash flow for the period and end up with a property worth close to what he paid for it.

[airics]

if its a lowend (rental, investor, 120k or less), buy... if you are looking at the 200+, think twice about buying, there is still room to come down.. and if you are looking at big money props.. you are nuts to buy...(even though others have claimed now is the time for the last 4 years)

[Willy702]

Originally Posted by airics

if its a lowend (rental, investor, 120k or less), buy... if you are looking at the 200+, think twice about buying, there is still room to come down.. and if you are looking at big money props.. you are nuts to buy...(even though others have claimed now is the time for the last 4 years)

I'll give you that, high end isn't really anything buyers should get too excited about. Those aren't selling way below replacement cost and will never yield anything as a rental investment.

[JonathanLB]

Originally Posted by airics

if its a lowend (rental, investor, 120k or less), buy... if you are looking at the 200+, think twice about buying, there is still room to come down.. and if you are looking at big money props.. you are nuts to buy...(even though others have claimed now is the time for the last 4 years)

I know you are a pessimist but I may as well ask, if I want a condo in the low $200K range, when is your opinion of a good time to buy? Late this year? Early next year? I probably am going to wait that long but then it's time for me to pull the trigger.

[Scott456]

I heard someone bought a house for $130K which is used to worth $300K. He said the tax wasn't re-assessed. Is that possible?

[logline]

Originally Posted by Scott456

I heard someone bought a house for $130K which is used to worth $300K. He said the tax wasn't re-assessed. Is that possible?

This just happened to us, but it's not what you think. There is a lag time between the time a home closes and the next tax cycle, so that may be what your friend is referring to. If they don't adjust the tax rate to reflect the new valuation, there is a period where the new owner can protest the tax rate. We did this and they immediately lowered the assessment to our sales price. It just took a signature (via fax) and a couple comps to show them we were not asking for any favors. It took about 2 weeks from start to finish. No big deal and we're happy with the result.

[olecapt]

Originally Posted by airics

if its a lowend (rental, investor, 120k or less), buy... if you are looking at the 200+, think twice about buying, there is still room to come down.. and if you are looking at big money props.. you are nuts to buy...(even though others have claimed now is the time for the last 4 years)

Recent data does not support your opinion. Clearly the upper quintile has done as well or better than the lowest. And volume is rising fast - likely the best March in 5 years. .

National unemployment is clearly recovering and local is not getting any worse.

What is it that causes you to project weakness in the high end of the market?