Upcoming HUD changesHere are upcoming HUD changes coming on February 12. When you bought a HUD home in the last year HUD was giving some incentives to buy. They are going away on February 12, 2010 Attention Selling Brokers and Agents: The following HUD Owner Occupant sales incentives will expire as of February 12, 2010: Search Wayne County and Oakland County Michigan HUD homes and get the latest listings emailed to you. Russ Ravary your metro Detroit real estate agent http://www.detroitmichiganrealestatehomes.com/0051F6 Posted on Jan 31, 2010 @ 7:07 pm by russ.ravary - View Profile
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How to reduce your Michigan property tax assessmentIt doesn't matter whether you are a Northville home owner, West Bloomfield landlord, or a Canton real estate investor everybody wants to reduce your Michigan property tax assessment and pay lower property taxes. Here is a way to learn what to do in order to lower your property taxes. REIA of Oakland County Michigan is community of real estate investors that looks to educate and inform its members on how to be a successful and profitable real estate while obeying local and state laws. It is a great association to join if you have Oakland County investment properties or thinking of buying some real estate investments. This class is open to the public and will help you to learn how to fight "city hall" and your Michigan property tax Assessment REIA of Oakland Strategies for Michigan Property Tax Assessment Appeals with Harold Hoyt Due to the economic challenges we are facing in Michigan, property tax assessments have become an important topic for investors and homeowners alike. Harold Hoyt is a principal with Professional Property Tax Appeals, Inc. He will be presenting the procedures for appealing your Michigan property tax assessment. They include: -Analyzing and assembling appeal documents -Presenting your case to local board of review -Reviewing results from local board -Petitioning the Michigan Tax Tribunal if necessary Harold will be discussing the procedures and deadlines for filings up to and including the Michigan Tax Tribunal. Be sure not to miss this one as there are new laws this year. Bring your questions and join us at our January meeting. There will be a question and answer period after the presentations. Meeting Location Michigan State University Management Education Center 811 W. Square Lake Road Troy, MI 48098 About REIA of Oakland Thank you for your interest in the Real Estate Investors Association of Oakland. REIA of Oakland is a non-profit organization founded in 1981 run entirely by volunteers. Our goals include providing education to our members, providing professional networking, and monitoring the political and legislative environment as it affects the real estate investment business. Our meetings are held on the second Thursday of each month at the MSU Management Education Center in Troy, 811 West Square Lake Road Troy, MI 48098 The meetings begin at 6:00pm with an hour of networking and an informal Early Bird Q&A session. The seminar portion of the meeting runs from 7:15-9:30pm. Each month we have a different guest speaker, including national speakers on topics useful to real estate investors. The formal presentation is followed by a question and answer session. In addition to free admission to our monthly meetings, joining REIA has many benefits for real estate investors from novice to pro. Visit our membership page for more details about the benefits of membership. Search Metro Detroit foreclosures - get the latest foreclosure listings emailed to you so you don't miss out on the latest foreclosures as soon as they hit the market. I have to been some of these meetings and I am always amazed how nice this group is. They are always glad to answer anybodies questions. Russ Ravary your Macomb, Oakland, Livingston and Wayne County MI real estate agent
http://www.detroitmichiganrealestatehomes.com/00516D Posted on Jan 03, 2010 @ 9:45 pm by russ.ravary - View Profile
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how Michigan property taxes work series - homestead exemption - part 8The State of Michigan and Metro Detroit has a complex property tax system. But to explain it..... Basically your Metro Detroit home is either homesteaded or non homesteaded. Homestead basically means that you live in the Metro Detroit home as your principal residence. Our Michigan government has seen fit to give you a break on your Michigan property taxes if you live in the house as your principal residence. It is a reduced rate on your Michigan property taxes if it is a "homesteaded property". You get a homestead exemption from the state. You'll then pay less on your Metro Detroit property taxes. Non-homestead means that it is a commercial property, a rental property. It means that you are going to pay full price on your Michigan property taxes on your Metro Detroit real estate. But what happens if the property is duplex, or quad, or a property with two homes on it, or if you rent part of the property out? How much of it can you claim as your homestead exemption? How much will it reduce your taxes? Here are the Michigan Homestead exemption Rules for how much you can claim of a property. What about properties that have two homes one it? What about duplexs? What if I rent out the house to some friends? Here are the rules right from the Principal Residence Exemption (PRE) Affidavit If you own and live in a multi-unit or multi-purpose property (i.e., a duplex, a quadplex, or apartment building, or a storefront with an upstairs flat), you can claim an exemption only for the portion that you use as your principal residence. Calculate your portion by dividing the floor area of your principal residence by the floor area of the entire building. If the parcel of property you are claiming has more than one home on it , you must determine the percentage that you own and occupy as your principal residence. A second residence on the same property (e.g., a mobile home or second house) is not part of your principal residence, even if it is not rented to another person. Your local assessor can tell you the assessed value of each residence to help you determine the percentage that is your principal residence. If the parcel of property you are claiming has more than one home on it , you must determine the percentage that you own and occupy and the renters enter through a common door or your living area to get to their rooms, you may claim a 100 percent exemption if less than 50 percent of your home is rented to others who use it as a residence. However, if part of the home was converted to an apartment with a separate entrance, you must calculate the percentage that is your principal residence by dividing the floor area of your principal residence by the floor area of the entire building. If you rent part of your home to another person , you may have to prorate your exemption. If your home is a single-family dwelling and the renters enter through a common door or your living area to get to their rooms, you may claim a 100 percent exemption if less than 50 percent of your home is rented to others who use it as a residence. However, if part of the home was converted to an apartment with a separate entrance, you must calculate the percentage that is your principal residence by dividing the floor area of your principal residence by the floor area of the entire building.
How Michigan property taxes work- homestead taxes and non-homestead taxes - part 1 How Michigan property taxes work - the difference between SEV and taxable value part 2 How Michigan property taxes work - will my property taxes go up after I buy a house - part 3 How Michigan property taxes work - buy a foreclosure with non-homestead taxes - part 4 How Michigan property taxes work - SEV state equalized value - part 6 how Michigan property taxes work - Taxable value - part 7
I hope you are starting to learn more about our Michigan Property tax system and how to read your tax bill Russ Ravary your metro Detroit real estate agent http://www.detroitmichiganrealestatehomes.com/0050F1 Posted on Jan 01, 2010 @ 8:03 pm by russ.ravary - View Profile
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Investing in Detroit real estate may be trickyInvesting in Detroit real estate is tricky. I get a quite a few calls and emails from people who have bought Detroit investment properties on how to resolve problems with their investments. One of the major issues these investors have is how to reduce Detroit property taxes after they have bought the property. They don't realize when they buy a $4000 Detroit home they could have a $4000 a year in property taxes. Here is one of my latest emails from an investor: I saw your site and thought it would be worth contacting you. I live in FLA and am a full time real estate investor. Last year I bought 2 Detroit foreclosures. It has taken me almost a full year, after calls and letters, before the City/County would tell me what my Detroit property taxes were/are. I guess they could not read the typing on the HUD settlement statement because they have been sending them to the wrong location; and the addresses, according to their website don't exist. Anyways the taxes seem VERY high. I myself think investing in Detroit real estate for an out of state investor is a bad investment. But many out of state investors don't believe me so I thought I would share one of the many stories I get from them. This guy above hasn't been stuck with a water bill yet, been fined by the City yet, or had to evict anybody yet for lack of rent. He has yet to learn fully about investing in the City of Detroit and he is already frustrated. So I replied back: Unfortunately you have encountered a one of the many problems out of state investors have with investing in Detroit real estate. Unfortunately I don't provide that service of going before the board. It just isn't worth the money for the time I would have to spend to do it. The City of Detroit is very tough to deal with when fighting Detroit property tax assessments. They have a multi appearance tax review board to fight Detroit taxes. They even send out the dates and times to the review board very close to the review board dates. By doing that it reduces the amount of people able to fight them. You may not even get the notice of where or when to show up. Taxes are very high compared to the cost of the property. Even if you provide them good documentation they don't have to reduce the property taxes. Then you have to take it to the next level of the Michigan State tax tribunal. Which is a year to a year and a half to be heard and costs more money. As much as you don't care about the City of Detroit's economic issues they directly affect you. They need every tax dollar they can get to run the city. With the population diminishing because of people moving out of the city and less homes to rent because of fires and vandalism. Click on any of the categories for more information on: Metro Detroit real estate investment tips Southeastern Michigan home buyer tips Search Metro Detroit real estate homes for sale listings Russ Ravary your metro Detroit real estate agent _________________________________________ My quote of the day is: "Finish each day and be done with it. You have done what you could; some blunders and absurdities have crept in; forget them as soon as you can. Tomorrow is a new day; you shall begin it serenely and with too high a spirit to be encumbered with your old nonsense." Ralph Waldo Emerson http://www.detroitmichiganrealestatehomes.com/005152 Posted on Dec 31, 2009 @ 7:34 pm by russ.ravary - View Profile
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Metro Detroit Sheriff sales and sheriff sale processUnless you have gone to a Metro Detroit Sheriff sale you may think you can pick up a deal at a sheriff sale, but you need to know what happens at Metro Detroit Sheriff sales. They just don't give the property away. You have to be the high bidder and you have a big competitor. You have the bank that holds the mortgage as your biggest competition. The bank just doesn't give up their interest. When a Metro Detroit home goes into foreclosure the house is scheduled for a sheriff sale. The Metro Detroit sheriff sale usually happens at the county offices. On most homes the bank ( the lender/mortgage holder) buys the home back. The bank bids it up high enough so the borrower, friends, family members, or even the general public doesn't buy cheap. What the bank wants to do is to buy it back so it releases all other lien holders (2nd mortgages) or others that have claims against the property. Such as contractors, lawyers that have judgements. When the sheriff sale takes place the winner gets the property with no liens. So if the
Then most likely the 1st mortgage company is going to bidding the house up over the market value of the home and up close to the amount owed on the mortgage. So the 1st mortgage company is going to bid close to $170,000. The second mortgage company won't, ex wife, divorce attorney, an window installer won't bid $170,000. They won't get their money back if it is only worth $170,000. Because now they will have bad 170,000 and they would have to add what they are owed to it and sales commissions. They will just lose their money. So why bid that high. A home buyer or investor isn't going to buy it either. The only way the 1st mortgage company won't buy it back is if they make a mistake. It happens once in a great while at Metro Detroit Sheriff sales. But most of the time the price the home is bid up to is close to the 1st mortgage amount and the winner is the 1st mortgage company. http://www.detroitmichiganrealestatehomes.com/00510F Posted on Dec 29, 2009 @ 10:20 pm by russ.ravary - View Profile
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