STOP COMPLAINING | #ClosingTalk Ep 015 by Torey Howarth from Philadelphia

Written by Posted On Tuesday, 17 May 2016 04:57

YEA... I am talking to you.  That person who is looking at their Philadelphia property tax bill and throwing a hissy fit.

 

So, for those of you who don't know me:  My name is Torey Howarth and I am the guy who will help you connect the dots between what you think you know and what you really need to know in order to be successful in the Philly real estate market of today.  This post is more of a slight rant but is packed with solid insight.

 

As a bit of backstory, a few years ago the city of Philadelphia switch to an actual value assessment model with the goal of bringing truer and more consistent property taxation across the city.  This change has dramatically simplified the taxation process to understanding the assessed value of the land, the assessed value of the improvements, and the millage rate (1.34%).  The formula is: (AV Land + AV Improvements) * .0134 = Annual property taxes.

 

Of course, when this switch was made, there were naysayers and people complaining.  Many filed appeals based on the notion that the taxes of one property was unfairly valued compared to the next one.  This created a backlog to correcting the OPA records that we are still seeing today.

 

Now the city is still trying to play catch up and re-evaluate the market values of certain properties.  They recently notified just under 535,000 property owners of their 2017 assessed values.

As you may already know by now, 15% of the first notice group's tax bills went up.  What generally happened is the assessed value of their property's land was "corrected" or made closer to market value.  The average tax bill went up less than $400.

 

Now the interesting thing here is people are now complaining in droves about their property taxes going up.  To be fair, some have a reasonable grounds for stating this claim.  Most though, are being completely unreasonable and are just emitting hot air no one cares about.

 

Some people saw property tax increases in their land because their property values went up significantly from the last assessment a few years ago.  With the way property owners are seeing their property values rise, they should also expect their tax basis too.  I personally do not get why people are complaining about the government and schools, yet refuse to pay their property taxes without a fight via appeal which ends up costing even more taxpayer dollars.

 

I also saw some riff raff regarding some bait and switch technique the city is using.  The idea is they are intentionally keeping the property taxes low on certain properties they want developed only then to reassess them at significantly higher land values once completed.  To this I say if you as a buyer or landowner choose to think you are pulling one over on everyone and are getting a steal, expect to be brought down to reality at some point and cherish the days you have saving money on property taxes vs the day muddling over the higher taxes..

 

At the end of the day, I see the City of Philadelphia getting a bad rap when they are just doing their job.  The people of Philadelphia, in large part, have an inexpensive way of life currently and are living in a time where prices on everything are rising because better jobs and more influential attention is being placed on the city; which ultimately drives in bigger spenders.  Things are changing.  Get on with the times and stop complaining.

 

If you are interested in filing a OPA appeal:

http://www.phila.gov/brt/appeals/Pages/default.aspx

 

--

Torey Howarth knows & sells real estate.  During years of trial and tribulation in pursuit of entrepreneurial success, things were not always "right", but they are now...

 

As a millennial playing in the washed-up sport of real estate, Torey found his niche and continues to relentlessly exploit it for all its worth.  He has 1 goal in mind:  Making dreams become reality (Don't discount his hustle and dedication to get there).

 

#ClosingTalk is a weekly off-the-cuff show (released Tuesdays @ approx. 3PM) that feature's Torey educating you on all things Philadelphia real estate.  No BS, just value and insight.  Because you earned it.

 

Torey'sThoughts is a weekly show (released Fridays @ approx. 3PM) focusing on anything but real estate.

 

Find Torey here:

 

Website: http://ToreyHowarth.com

Broker:  http://kwphilly.com

YouTube:  https://goo.gl/5KWHw8

Facebook: http://facebook.com/ToreyHowarthPHL

Linkedin: http://linkedin.com/in/toreyhowarthPHL

Instagram: http://instagram.com/toreyhowarthphl

Twitter: http://twitter.com/ToreyHowarthPHL

Medium:  http://medium.com/@toreyhowarthphl

Snapchat:  toreyhowarthPHL

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Torey Howarth
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Torey Howarth

WHAT I DO:  I save you time and energy by guiding you throughout the home buying and selling process.

 

HOW I DO IT:  I connect the dots between what you think you know and what you don't yet know but need to know.  The internet can make us feel like we know it all and don't need a real estate agent, when in fact what it actually does is it gives us much more information than we know what to do with.  I blend my proprietary insight gained through many conversations, observations, and years of experience with what you already know to create a useful action plan to get us from point A to point B.  For all of the moments in between those big moments, I rely on consistent communication to prevent your mind from wandering away, so we can stay laser-focused on the end goal. 

 

WHAT MAKES ME DIFFERENT:  My approach.  I am a Millennial who understands real estate by internalizing why things work the way they do.  By understanding the "why", I can provide insight on a deeper level and align you with better opportunities in any market.  I get to understanding the "why" by working really hard and caring a lot about my clients and everyone around me.

 

ABOUT ME:  I became passionate about real estate when I thought it was really cool people owned big buildings (Even cooler that people paid the owners of those buildings more than what it cost them to own it).  From that day, I devoted a lot of time, effort, and energy to internalizing how to invest in real estate.  Flash forward to today:  I am not only continually learning on a daily basis, but i am also executing daily while paving my own path to spreading real estate insight and offering reliable real estate representation.

 

HOW TO INDULGE IN PHILLY REAL ESTATE:  Click "Watch my Videos"

www.urbnhmesphilly.com

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