Poll:Has Your Home's Value Rebounded?

[Beryl]

Missing the option: don't care, I'm not moving.

That is what my uncle always says.

I'm not moving either but I'm one of those folks who cares about others. It chaps my rear that my niece lost her money and credit rating by listening to doomsayers. It also bothers me that so many neighborhoods were hurt by what I think were unnecessary foreclosures.

 

[Katsmeow]

Can't really answer. I've only owned this house a year. I do think it has gone up some in value over the last year but I didn't answer the poll since I didn't own this house before the recent unpleasantness...

That said, in this area, inventory is very low. In the several counties in and around the major city supposedly inventory is at a 13 year low. Number of houses for sale is way below where it was a year ago.

I just did a search in my subdivision of what is available now compared to when we went under contract to buy in January 2012. Supposedly January is a time of low inventory and June is high inventory but there are far fewer houses available for sale.

That said, last summer I noticed few houses being built in this subdivision. This is a subdivision of custom homes with no one builder. Right now, just on the couple of streets I regularly drive on there are (or have been within the past couple of months) 5 houses being built.

Prices went down in this area (we sold our old house 2 years ago for about 10% less than we bought it for in 2007) and our current house we paid less for it that the sellers paid for it. I think this house is now probably back to what the sellers paid for it, maybe a little above.

 

[WhoDaresWins]

I purchased my newly built house in 2004. I think if I put it on the market today, I would have a 10 percent loss judging from recent comparables. It is a pretty ordinary house in an average neighborhood, and I have done nothing to improve it (other than routine maintenance) since I bought it.

 

[LRDave]

I said yes. I do care as I have an end-game planned in about 5 years. IF the rest of the plan falls into place, the net off of this house could fund a year+ earlier retirement.

So I'm happy prices have rebounded now, but I mostly want them to hold or improve in the 5-year range.

 

[Fishingmn]

In the Twin Cities homes were down around 25% from the peak of 2005/6. In the past 18 months they have gone up around 15% so we are still below the peak.

I have purchased 9 rental townhouses in the past 2 1/2 years.

I paid less than 1/2 of what they had sold at during the peak (townhouses were really impacted and these were all bank owned or short sales). Recent sales seem to indicate that they have rebounded by 25% in total so that's a good thing since I am really just counting on the cash flow.

 

[obgyn65]

I bought a condo in 2008. Small, functional but in a nice area. My first real estate purchase ever. I never considered it as an investment. Now I guess it's down 20 or 30 percent.

 

[Bestwifeever]

Missing the option: don't care, I'm not moving.

I would have voted this too.

It's 10+ years since a house on my block sold.

 

[KingB]

Missing an option: Value went up (per realtor) and I am not happy with it.
Why would I be? I am not selling and the tax assessment will just go up costing me money.

 

[ShortInSeattle]

Missing an option: Value went up (per realtor) and I am not happy with it.
Why would I be? I am not selling and the tax assessment will just go up costing me money.

Same here. We bought almost 2 years ago & we're up 18%. No plans to sell so we're just waiting for the property tax hit.

 

[kmt1972]

We bought our house for $685K in Jan 2007 at significant below market value from a Relo Firm. It was worth around $760K at that time. The value then went down to around $650K by the end of 2009. It is back up to around $720K and will most likely rise the next couple of years.

 

[jon-nyc]

Sounds cheap for Scarsdale.

 

[kmt1972]

Sounds cheap for Scarsdale.

True. We have large townhouse which is attached to another unit on one side with a significant yard. If we were detached with the same size and yard I figured it would be worth about $950K. When my DW and I bought this back in 2007 we decided on utility versus resale value on the premise we would be here for a while and wanted a lower real estate tax bill. The real estate tax bill has shot up last couple of years since the phasing out of STAR for households of income over $500K. Arrrr.

 

[Malcolm2]

Not too concerned about property values one year to next. We own free and clear but never have seriously considered our house part of our portfolio or even net worth. Just a nice place to keep our stuff.

Have seen far too many friends treat their house as their primary retirement plan - big mistake in our view. With this latest market I'm sure many are updating their net worth spreadsheet with every uptick. Not interested in deceiving ourselves in that way.

 

[Walt34]

Ours is back up to about what we contracted to pay for it in Sept. 2001, two days before 9/11. We didn't actually settle/move in until a year later. So while we're not exactly doing the happy dance it's nice that we won't take a beating on it either.

And yes we will eventually sell it. Seeing what our parents went through we believe that sure as tomorrow's sunrise (although hopefully not quite so soon) the day will inevitably come when we physically cannot keep it up.

 

[LakeTravis]

I've got two frames of reference:

Lake House: Built in 2003 and appraised for $380K. After several improvements over the past decade, only appraised for $420K earlier this year. This week, I successfully convinced the county appraiser to lower the tax appraisal to $355K, an 8% drop from last year's valuation. The drought and dried-up lake are killing values. I've had it on the market for almost 3 months, currently at $399K and not a single offer. If mother nature would put water back in the lake, I'd be seeing multiple offers over $500K. But she hasn't and I'm not.

Primary Home: 28 miles on the other side of Austin, 3350sf REO foreclosure purchased in 2009 for $195K appraised two months ago for $265K and is expected to increase 8% over the next year.

 

[jon-nyc]

True. We have large townhouse which is attached to another unit on one side with a significant yard. If we were detached with the same size and yard I figured it would be worth about $950K. When my DW and I bought this back in 2007 we decided on utility versus resale value on the premise we would be here for a while and wanted a lower real estate tax bill. The real estate tax bill has shot up last couple of years since the phasing out of STAR for households of income over $500K. Arrrr.

We just bought in the Rivertowns, we move in a couple weeks. Taxes are indeed crazy. I retired this year so I should qualify for STAR in 2014.

 

[tryan]

FWIW I believe history will show the bottom is behind us. But we're no where near the 2005-2006 peak. Still 25% or so to go.

Speaking to my realtor/friend she said the demand is in the city ... prices are on the rise there. The 'burbs will only benefit when buyers are priced out of the city and "come up the highway". Probably another couple years before we begin to significantly lift.

 

[KingB]

True. We have large townhouse which is attached to another unit on one side with a significant yard. If we were detached with the same size and yard I figured it would be worth about $950K. When my DW and I bought this back in 2007 we decided on utility versus resale value on the premise we would be here for a while and wanted a lower real estate tax bill. The real estate tax bill has shot up last couple of years since the phasing out of STAR for households of income over $500K. Arrrr.

If I am making >500K, I wouldn't mind paying for my fair share of taxes.

 

[KingB]

Not too concerned about property values one year to next. We own free and clear but never have seriously considered our house part of our portfolio or even net worth. Just a nice place to keep our stuff.

Have seen far too many friends treat their house as their primary retirement plan - big mistake in our view. With this latest market I'm sure many are updating their net worth spreadsheet with every uptick. Not interested in deceiving ourselves in that way.

+1.
Totally agree.

 

[HFWR]

Bought my "ranch" for $113k in 2000.

 

[Gus.]

Here's what our house appraised for since we bought it:

Original purchase in 2007: $560,000
Refinance 1 in 2009: $560,000
Refinance 2 in 2011: $530,000
Refinance 3 in 2012: $510,000
Refinance 4 in 2013: $600,000

I think the lower appraisals were too low but I didn't argue with them because we have enough equity that the appraisal doesn't matter.

 

[bld999]

Here's what our house appraised for since we bought it:

Original purchase in 2007: $560,000
Refinance 1 in 2009: $560,000
Refinance 2 in 2011: $530,000
Refinance 3 in 2012: $510,000
Refinance 4 in 2013: $600,000

I think the lower appraisals were too low but I didn't argue with them because we have enough equity that the appraisal doesn't matter.

Appraisers are stuck with comparative sales to establish valuation. They like to find representative examples within a mile radius of what they are appraising, too. If you're in an area with few or no sales, the appraisal may be fiction. Likely in this market, the sale price would be higher if in an urban area. Once fresh comps are available, appraisals will head up and may begin to overshoot.

Not directly related, but in my area of north Seattle, there is so little inventory, spec. builders who can get hold of lots are netting 70-80k per townhouse unit, about where things were in 2006...

 

[Chuckanut]

FWIW, I heard one person describe it as a 'sellers strike', thus causing a low inventory that is driving up prices.

 

[jon-nyc]

If I am making >500K, I wouldn't mind paying for my fair share of taxes.

I don't complain much myself.

But to put this in context - I just bought a 2400 sq ft house with 3 bedrooms, 2.5 baths. The property taxes are 26,800 a year. That's not a typo.

 

[kmt1972]

I don't complain much myself.

But to put this in context - I just bought a 2400 sq ft house with 3 bedrooms, 2.5 baths. The property taxes are 26,800 a year. That's not a typo.

Yep. SOP in Westchester. My is over $20K as well now that STAR is gone. Scarsdale is pretty high in terms of property taxes. Thank goodness I have a kid so I can recoup some of this by not having to send him to private school.