Comments on: West Orange NJ Real Estate | Home Sales | Inventory Levels http://www.newjerseyrealestateguys.com/blog/west-orange-homes/ New Jersey Real Estate Tue, 29 Mar 2011 20:56:48 +0000 hourly 1 http://wordpress.org/?v=3.3 By: admin http://www.newjerseyrealestateguys.com/blog/west-orange-homes/#comment-764 admin Mon, 03 Jan 2011 22:39:30 +0000 http://www.newjerseyrealestateguys.com/?p=3112#comment-764 I agree... I love W.O, but the taxes are insane. If nothing is done, my 10% drop in prices may be an understatement, but I hope not. You won't see any homeowners today willing to pay $1,000 in property tax escrows on a $300,000 house. No way, just not economically and financially healthy. Unfortunately I haven't had a client appeal their taxes lately so it is tough for me to say one way or the other. But they should. Everyone should. I agree… I love W.O, but the taxes are insane. If nothing is done, my 10% drop in prices may be an understatement, but I hope not. You won’t see any homeowners today willing to pay $1,000 in property tax escrows on a $300,000 house. No way, just not economically and financially healthy. Unfortunately I haven’t had a client appeal their taxes lately so it is tough for me to say one way or the other. But they should. Everyone should.

]]> By: Keith http://www.newjerseyrealestateguys.com/blog/west-orange-homes/#comment-763 Keith Mon, 03 Jan 2011 21:47:52 +0000 http://www.newjerseyrealestateguys.com/?p=3112#comment-763 The reason for the price drops in West Orange can be closely tied to the tax rate. You start to hit on the point in the above article. The current tax ratio in West Orange is not sustainable. Take a look at the M&M condo complex Bel Air. The average tax bill for a townhome in that community is over $18,000 per year. That is for a town-house with no land. How on earth is that sustainable? When looking at property valuations, I figure that every non P&I dollar that has to be spent equates to a $14 drop in housing value. So for a Bel Air townhouse with $18,000 tax bill to be valued in line with a similar townhouse with a 10k tax bill, the Bel Air condo needs to be purchased for $112,000 less (8,000*14). All of the above does not take into account the future tax increases either. The property tax debacle is why buyers are turned off to W. Orange. Sellers should take note of this, and either get their taxes reduced or be willing to accept much lower offers. The reason for the price drops in West Orange can be closely tied to the tax rate. You start to hit on the point in the above article.

The current tax ratio in West Orange is not sustainable. Take a look at the M&M condo complex Bel Air. The average tax bill for a townhome in that community is over $18,000 per year. That is for a town-house with no land.

How on earth is that sustainable? When looking at property valuations, I figure that every non P&I dollar that has to be spent equates to a $14 drop in housing value. So for a Bel Air townhouse with $18,000 tax bill to be valued in line with a similar townhouse with a 10k tax bill, the Bel Air condo needs to be purchased for $112,000 less (8,000*14).

All of the above does not take into account the future tax increases either. The property tax debacle is why buyers are turned off to W. Orange. Sellers should take note of this, and either get their taxes reduced or be willing to accept much lower offers.

]]> By: admin http://www.newjerseyrealestateguys.com/blog/west-orange-homes/#comment-720 admin Wed, 24 Nov 2010 13:02:02 +0000 http://www.newjerseyrealestateguys.com/?p=3112#comment-720 Hi Josh. Yes, we are projecting a 5-10% drop in West Orange homes. We will re-evaluate the numbers after the winter, but the inventory levels are very high. That being said, if you get a short sale or REO you can get a pretty good price in W. Orange these days. Hi Josh. Yes, we are projecting a 5-10% drop in West Orange homes. We will re-evaluate the numbers after the winter, but the inventory levels are very high. That being said, if you get a short sale or REO you can get a pretty good price in W. Orange these days.

]]> By: Josh willard artilkm http://www.newjerseyrealestateguys.com/blog/west-orange-homes/#comment-719 Josh willard artilkm Wed, 24 Nov 2010 08:31:03 +0000 http://www.newjerseyrealestateguys.com/?p=3112#comment-719 I have friends in west orange who cant give their homes away. people are wise to the fact its looking like newark or east orange everyday,...Dont believe me drive past west orange h.s at 2:35 pm on a school day,and you will see why home prices have plummited. I have friends in west orange who cant give their homes away. people are wise to the fact its looking like newark or east orange everyday,…Dont believe me drive past west orange h.s at 2:35 pm on a school day,and you will see why home prices have plummited.

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