List Price, Sales Price and Appraised Value

Enlightenme.com

The three most important prices when buying a home are the list sales price, appraised value, and sales price. While these numbers may be similar in some cases, in others they can vary dramatically. Before making an offer, it is essential to have a clear definition of these figures so that you will be able to make an educated purchasing decision.

Defining List Sales Price, Appraised Value and Sales Price

The list price is the amount of money the home seller wants for his or her property. This figure may be close to the appraised value and ultimate final sales price or may be too high or too low, depending on how accurate the seller is in listing the property. A home seller can price his or her property high for the market, low for the market, or right on the mark.

The sales price is the amount of money you, the home buyer, pay for the home. This number depends on a host of factors including the negotiations between buyer and seller, what size loan you are approved for and how much you can afford to spend, and the condition of the property, and whether the market is a buyers or sellers market.

Finally, there is the appraisal. This is a dollar value for the house that’s determined by an independent third party investigator, know as an appraiser. The appraisal is theoretically the most objective measure of how much the house and property is worth.

Impact of List Sales Price, Appraised Value and Sales Price

The list sales prices impacts your mortgage only in so far as they influence the negotiations between you and the seller. If the seller is firm on his list price and you do not meet it, or don’t come close, then you may be unable to buy the house. However, if the seller is very eager to sell, the list price may simply be a jumping-off point and the seller may be willing to accept any reasonable offer.

The appraisal, on the other hand, can transform negotiations and change the very character of your mortgage. If an independent appraisal suggests that your home is worth less than you’re paying for, or that there are unsafe conditions such as broken zoning permits, or additions built without a permit, your lender may raise your interest rates or refuse to give you the loan at all.

Conversely, if an appraiser determines that the home is a healthy, well maintained, well-zoned property that is worth at least as much, if not more, than you will be paying for it, your lender may approve your mortgage more readily. Although lenders and even sellers often locate an appraiser and arrange for the certified appraisal, you may want to have a house appraised before you consider applying for a mortgage or making an offer. Knowing how much a home is worth in the eyes of an objective party can help you determine how much you want to offer on the house, and can thus shape your final sales price.

Of course, you cannot and should not pay for an appraisal on every home you consider buying. You can achieve a general idea of whether the ratio of list sales price and appraised value are in line by looking at recent listings within the same neighborhood and comparing what those homes sold for to the home you are considering buying. This way, you can ensure the list sales price, appraised value and final selling price are closely aligned.

Geraldo Snags NYC Penthouse With Central Park Views

BY MELISSA ALLISON
ZILLOW
Just a block from the Guggenheim Museum, the home boasts views from multiple rooms.

Television personality Geraldo Rivera and his wife, Erica, are taking Manhattan.

After living for years along the Hudson River in New Jersey, the couple has bought a $6.295-million penthouse with sweeping views of Central Park, as first reported by 6sqft.

The 2,500-square-foot unit has 4 bedrooms, including a double-sized master bedroom with views, plus 3 bathrooms. French doors lead from the dining room, which also boasts views, into the kitchen, and from the living room to a bedroom or den.

The building, which is just a block from the Guggenheim Museum and an entrance to the park, features a party room, gym and an indoor/outdoor pool on the roof.

Tip for a Weed Free Yard - Apply a Preemergent Herbicide

From the FamilyHandyman.com

The easiest way to stop crabgrass is to nail it before it starts growing. Apply a preemergent herbicide after your second mowing in the spring. Crabgrass grows from seeds scattered in previous years. The herbicide keeps those seeds from germinating. The seeds may remain viable for several years, so it's best to apply herbicide every spring. One springtime application will vastly reduce the need to attack crabgrass later in the year once it has sprouted.

Miami-Dade property values up 8.6 percent

BY DOUGLAS HANKS AND LANCE DIXON

MiamiHerald.com

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Property values surged 8.6 percent across Miami-Dade last year, priming local governments for a windfall in tax revenue in 2016 and offering another measure of a surging real estate market.

New estimates from the county’s Property Appraiser detail the second housing boom under way along the coast, with waterfront cities posting some of the largest gains. Sunny Isles Beach took the top spot, with a 15.7 percent gain. No city saw more valuable new construction than Key Biscayne, which recorded an additional half-billion dollars’ worth of real estate when 2015 began.

Suburban jurisdictions saw less explosive growth, and some Miami-Dade cities fell well below the average. And the countywide total is still about 7 percent below the peak set in 2009. But with property values countywide beating forecasts for 2015, Monday’s report details the fiscal breathing room that a seller’s market can provide.

“We’re seeing a lot of new construction all over,” said Pedro Garcia, the county’s elected property appraiser. “It really was not a surprise. We saw it coming.”

The higher values could put pressure on some elected leaders to roll back tax rates in order to keep actual tax bills from rising next fall. In Miami-Dade, budget officials had forecast a 5.5 percent in taxable value countywide for the 2016 budget year. Existing properties saw their taxable values increase 7.3 percent. An added $2.7 billion worth of new construction boosted the gain to 8.6 percent.

Read more here: http://www.miamiherald.com/news/local/community/miami-dade/article22809420.html#storylink=cpy

Miami-Dade's property values, 2015

 

Jurisdiction	2014 values	2015, existing construction	Change	New construction	2015 total	Change from 14
Sunny Isles Beach	$7,679,258,783	$8,600,000,000	12.0%	$285,000,000	$8,885,000,000	15.7%
Key Biscayne	$6,697,657,229	$7,148,000,000	6.7%	$552,000,000	$7,700,000,000	15.0%
El Portal	$98,982,587	$109,000,000	10.1%	$3,000,000	$112,000,000	13.2%
MB: Normandy Shores	$134,363,196	$151,000,000	12.4%	$1,000,000	$152,000,000	13.1%
Surfside	$1,336,876,007	$1,460,000,000	9.2%	$38,000,000	$1,498,000,000	12.0%
Miami Beach	$27,103,871,420	$30,095,000,000	11.0%	$256,000,000	$30,351,000,000	12.0%
Bay Harbor Islands	$698,927,405	$787,000,000	12.6%	$-5,000,000	$782,000,000	11.9%
Miami: DDA	$13,425,192,335	$14,675,000,000	9.3%	$312,000,000	$14,987,000,000	11.6%
Miami	$35,284,841,538	$38,798,000,000	10.0%	$465,000,000	$39,263,000,000	11.3%
N. Bay Village	$747,944,185	$830,000,000	11.0%	$0	$830,000,000	11.0%
School Board	$234,803,018,608	$257,037,000,000	9.5%	$2,749,000,000	$259,786,000,000	10.6%
Golden Beach	$760,202,266	$825,000,000	8.5%	$12,000,000	$837,000,000	10.1%
Biscayne Park	$144,488,417	$158,000,000	9.4%	$1,000,000	$159,000,000	10.0%
Homestead	$1,948,800,658	$2,083,000,000	6.9%	$48,000,000	$2,131,000,000	9.4%
North Miami	$2,202,009,476	$2,393,000,000	8.7%	$4,000,000	$2,397,000,000	8.9%
Sweetwater	$1,316,221,489	$1,382,000,000	5.0%	$49,000,000	$1,431,000,000	8.7%
Countywide	$210,544,758,410	$225,921,000,000	7.3%	$2,746,000,000	$228,667,000,000	8.6%
Library	$192,454,621,389	$206,392,000,000	7.2%	$2,581,000,000	$208,973,000,000	8.6%
Children's Trust	$212,615,559,479	$227,976,000,000	7.2%	$2,749,000,000	$230,725,000,000	8.5%
FL Inland Nav Dist	$212,615,559,479	$227,976,000,000	7.2%	$2,749,000,000	$230,725,000,000	8.5%
SFL Water Management	$212,615,559,479	$227,976,000,000	7.2%	$2,749,000,000	$230,725,000,000	8.5%
Cutler Bay	$1,912,558,887	$2,049,000,000	7.1%	$23,000,000	$2,072,000,000	8.3%
Miami Shores	$829,792,898	$898,000,000	8.2%	$0	$898,000,000	8.2%
Aventura	$8,394,311,130	$9,055,000,000	7.9%	$5,000,000	$9,060,000,000	7.9%
Bal Harbour	$3,954,448,059	$4,241,000,000	7.2%	$2,000,000	$4,243,000,000	7.3%
North Miami Beach	$1,869,066,109	$2,002,000,000	7.1%	$2,000,000	$2,004,000,000	7.2%
Hialeah	$7,307,031,936	$7,703,000,000	5.4%	$125,000,000	$7,828,000,000	7.1%
Fire and Rescue	$121,395,319,598	$128,518,000,000	5.9%	$1,264,000,000	$129,782,000,000	6.9%
Hialeah Gardens	$948,254,382	$1,002,000,000	5.7%	$10,000,000	$1,012,000,000	6.7%
Coral Gables	$12,855,416,730	$13,578,000,000	5.6%	$85,000,000	$13,663,000,000	6.3%
Unincorporated M-D	$58,426,240,330	$61,359,000,000	5.0%	$616,000,000	$61,975,000,000	6.1%
Indian Creek	$448,191,779	$476,000,000	6.2%	$-1,000,000	$475,000,000	6.0%
Doral	$9,505,953,555	$9,909,000,000	4.2%	$164,000,000	$10,073,000,000	6.0%
South Miami	$1,480,600,491	$1,554,000,000	5.0%	$10,000,000	$1,564,000,000	5.6%
Opa-locka	$661,065,490	$691,000,000	4.5%	$4,000,000	$695,000,000	5.1%
Pinecrest	$3,913,545,312	$4,090,000,000	4.5%	$17,000,000	$4,107,000,000	4.9%
West Miami	$302,065,301	$318,000,000	5.3%	$-1,000,000	$317,000,000	4.9%
Medley	$1,762,783,339	$1,845,000,000	4.7%	$3,000,000	$1,848,000,000	4.8%
Miami Lakes	$2,574,960,124	$2,685,000,000	4.3%	$4,000,000	$2,689,000,000	4.4%
Florida City	$410,253,724	$422,000,000	2.9%	$5,000,000	$427,000,000	4.1%
Miami Springs	$946,504,898	$971,000,000	2.6%	$7,000,000	$978,000,000	3.3%
Palmetto Bay	$2,462,237,138	$2,544,000,000	3.3%	$-1,000,000	$2,543,000,000	3.3%
Miami Gardens	$3,444,897,103	$3,590,000,000	4.2%	$-40,000,000	$3,550,000,000	3.1%
Virginia Gardens	$235,812,481	$236,000,000	0.1%	$0	$236,000,000	0.1%

Released at the start of June each year, the report offers a jurisdiction-by-jurisdiction look at how real estate trends are unfolding throughout the county. Among the notable statistics:

▪ Virginia Gardens finished last in terms of growth, recording zero new construction and only a tiny .1 percent gain in existing property values. Mayor Spencer Deno said the negligible growth didn’t surprise him, since the village saw a 29 percent spike in values in 2014 as Boeing opened a new training center and the Space Coast Credit Union finished its construction.

“We were on the other end of the spectrum a year ago,” he said.

▪ Demolition work caused Bay Harbor Islands to see its new-construction figure actually depress growth in the tax base. The village, a tony enclave now in the midst of a battle between developers and historic preservationists, recorded negative $5 million in new construction, which Property Appraiser spokesman Robert Rodriguez said was due to demolition of existing properties.

Bay Harbor Islands actually saw the highest increase in the county for existing properties, with values up 12.6 percent. With the new-construction loss, the village’s overall growth notched back to 11.9 percent.

▪ Key Biscayne managed to deliver a more valuable portfolio of new construction than Miami did, according to the Property Appraiser’s office. The oceanfront village recorded $552 million of new construction in 2014, compared to $465 million for Miami. The taxable value kicks in once a building is completed, and Garcia said he expects Miami’s ongoing construction boom to have its great effect in the 2016 and ’17 rolls. He linked much of Key Biscayne’s new value to a 153-unit condo tower where each apartment sells for more than $3 million a piece.

▪ Miami-Dade’s budget writers received good news on multiple fronts. For the suburban county taxing district made up of unincorporated areas, which rely on Miami-Dade for municipal services, values are up 6.1 percent. The forecast increase was 5. The taxing district for Miami-Dade’s library system grew 8.6 percent, compared to a 5.5 percent forecast. A district that funds county rescue services grew 6.9 percent, instead of the 5 percent forecast in the county’s five-year financial plan published in October.

▪ Miami-Dade’s school system should see an even bigger gain. It collects taxes from a larger base of property value than does the county itself, largely because school funding is exempt from certain taxing districts that cut into the county’s tax rolls. The school system’s taxing district saw values grow 10.6 percent.

▪ Sun Life Stadium’s ongoing renovation work hurt the numbers in Miami Gardens. The city saw a modest 3.1 percent gain, but would have recorded a 4.2 percent increase if not for a $40 million deduction for new construction.

Cameron Benson, city manager for Miami Gardens, said he was slightly disappointed in the modest increase but glad to see a growth trend continue. The city had a 2.6 percent gain from 2013 to 2014.

“I’m happy with the growth,” he said, “but I was hoping for larger growth.”

The Property Appraiser’s office said the negative new-construction figure was from Sun Life’s $400 million upgrade, which will include a partial roof and all-new seating. Benson said a major redevelopment of the former Calder Race Course hurt the numbers, too, but that the math will reverse itself in the coming years.

“We won’t get the benefit until those things are completed,” he said.

Read more here: http://www.miamiherald.com/news/local/community/miami-dade/article22809420.html#storylink=cpy