Don’t Pat Yourself on the Back Just Yet


You’ve got $500,000 in liquid assets for your retirement and you’re still 15 years away. All your bills are paid; you have a small mortgage on your home; cars are paid

for and great credit. Don’t break your arm patting yourself on the back yet.31001231_s.jpg

People think more about what they’re going to do when they retire than whether they’ll have the funds to do them. Ask anyone who has retired, it takes more money than you thought it did. Let’s look at a hypothetical situation.

To retire with $125,000 income in today’s dollars with a life expectancy of 25 years after retirement, you’ll need to have a net worth of $1.5 million at retirement including what Social Security may provide. Your $500,000 will grow to $1,045,420 in 15 years which will leave you about a half million short. You’ll need to save $24,149 each year for the next 15 years to reach your goal.

 

Retirement Projection3.png

Is this surprising? Did you imagine that this example would be that far from its goal? It might seem staggering to save $24,000 each year but there is another way…investing in rentals.

Real estate over the long term has proven to be a solid, predictable investment.  Cash flows, appreciation, equity buildup and tax advantages are the components that contribute to the rate of return. Increasing rents, available financing and solid appreciation make rentals particularly attractive in today’s environment.

Call me at (972) 407-1337 to find out more about how rental homes can help you reach your retirement goals.

 

Advertisements

Multnomah County Property Tax Appeal Process


This information will help you decide how to appeal your property value to the Board of Property Tax Appeals (BoPTA). Your appeal must be postmarked or delivered by December 31.

  1. Deciding to appeal
  2. Submit your appeal
  3. Prepare for your hearing
  4. What to expect at the hearing
  5. Hearing decision

Use this Glossary of Value Terms to help understand your tax bill and prepare your appeal.

Deciding to appeal

Before you file an appeal, please contact our office (via live chat(link is external), phone or email) for more information about how your property value was determined. Our appraisers will help you understand your value and if it should be adjusted.

You may file appeals for the following reasons:

  • Value: You can appeal the current year’s Real Market Value (RMV), Specially Assessed Value (SAV) or Assessed Value (AV) on both real and personal property accounts. Personal property includes business property, floating property and manufactured structures.
  • Exception event: If improvements have been made to your property (for example updating or remodeling) and you believe that the amount the Assessor has increased the value of your property is too high, you may appeal the amount of the increase that is associated with the improvements (called an “exception event”).
  • Penalty: If you disagree with a penalty assessed to you for late filing of your real or personal property return, you may petition BoPTA to waive the penalty.

When considering an appeal, keep in mind:

  • A reduction in Real Market Value of your property may not result in tax savings.
  • It is your responsibility to prove that the value the Assessor has placed on your property is too high.
  • BoPTA can only hear appeals of the current tax year values. It does not have authority to consider appeals for any other tax years.

BoPTA cannot:

  • Consider hardship as a factor in establishing value
  • Set the amount of tax you owe
  • Consider a sharp increase in value in a single year to be a valid reason for appeal
  • Regard lack of normal property maintenance as a reason for appeal (however, severely deferred maintenance and structural problems are considered)
  • Consider testimony on tax rates or the fairness of the tax system.

Submit your appeal

When can I appeal?

After your current year property tax statement is available, you have until December 31 to submit your petition to The Board of Property Tax Appeals (BoPTA). BoPTA can only consider petitions for the current tax year value.

Your petition must be postmarked or delivered by December 31.

  • We use the U.S. Postal Service postmark to determine timeliness of filing. A postage meter imprint (e.g. Pitney-Bowes) is not considered a postmark.

Hearings will take place between the first Monday in February through April 15. You will be notified by mail of your hearing date and time.

Download appeal forms and petitions

Pick up forms at our office

501 SE Hawthorne Blvd, Suite 175
Portland, OR 97214
Phone: 503.988.3326

Email form request to BOPTA@multco.us(link sends e-mail)

How do I submit my appeal and what is the fee?

You must submit a separate completed petition for each account. The filing fee is $30.00 per account.

If we receive your petition without the filing fee, you have 20 days from the date of notification to submit the fee or the petition will be dismissed.

Appeals are accepted by mail or in person only. Email or fax submissions are not accepted.

By mail

Board of Property Tax Appeals
PO Box 5007
Portland, OR 97208-5007

In person

501 SE Hawthorne Blvd, Suite 175
Portland, OR  97214

How do I appeal Business Personal Property?

Business Personal Property value for the current tax year may be appealed to BoPTA. Paperwork must be postmarked no later than December 31.

Late filing penalties for business personal property may also be appealed to BoPTA separately.

The cost for each appeal is $30.

Business Personal Property Appeals forms

Personal Property Petition (468.98 KB)

Waiver of Late Filing Penalty (152.42 KB)

Prepare for your hearing

When will my hearing be scheduled?

Hearings start in mid-February and run until April 15. Hearings take place in 10 minute increments from 9 am-2 pm, Monday-Thursday at the Multnomah Building (501 SE Hawthorne Blvd, Portland, OR 97214).

  • Notices of hearing will be mailed 5-10 days in advance of the scheduled time. You may also call or chat our Customer Service office(link is external) to find out your scheduled hearing time.
  • Hearing times cannot be rescheduled. If, after your hearing is scheduled, you find you cannot attend, you may send a qualified representative. To designate a representative, fill out and submit the Authorization to Represent form(link is external).
  • If you are in need of special assistance, please call or chat our office and we will be able to help you.

What evidence do I need?

Generally, to be successful in your appeal, you must provide evidence of the market value of your property on January 1 of the assessment year. A strong case requires careful preparation. Remember, it is your responsibility to prove that the Assessor’s value is too high.

The only evidence BoPTA can consider is what you provide with your current appeal.  Evidence from previous appeals will not be considered. You may send your evidence with your petition, or bring it at the time of the hearing.

Here are some examples of evidence BoPTA may consider:

  • Documentation of an arm’s-length (openly-marketed) sale of your property that occurred close to January 1 of the assessment year.
  • A fee appraisal dated close to January 1 of the assessment year which reflects the property’s value.
  • Proof that the property has been listed for sale on the open market for a reasonable period of time at a price below the real market value on the tax roll.
  • A comparison of properties similar to yours in location, size and quality that have sold close to January 1 of the assessment year. If there are differences between properties, the differences must be accounted for in the comparison of values.
  • Cost of new construction that occurred close to January 1 of the assessment year and was performed by a professional contractor.
  • Cost to repair your property. You must provide written estimates of the cost of the repairs.
  • For commercial property, documentation of income and expense information or a comparable sales analysis.

If you wish to submit comparable sales as evidence, an example of a Comparable Sales Grid is available.

Any evidence you provide to BoPTA will not be returned to you.  If you wish to keep the original documents, you may submit copies to the Board.

What to expect at the hearing

A typical residential hearing is limited to a total of 10 minutes. All hearings in which a petitioner (or representative) is present are recorded. Most recordings are available for review upon request. During this 10 minutes you will:

  • Introduce yourself and identify your property. The BoPTA Chair will announce the current value and your requested value, and will confirm the size, location and type of property under appeal.
  • You will then make a statement supporting your requested value.
  • Describe each piece of evidence you present. BoPTA members may ask questions during your presentation.

You must make your statement, present your evidence, and allow for questions within the 10 minute period. Remember that BoPTA is concerned with property values for the current assessment year, not large increases over last year’s value or increases in tax amounts.

The process is informal. You should expect to be treated with courtesy. The Chair must, however, adhere to the time schedule and you will be asked to cooperate in this regard.

Who is on the Board of Property Tax Appeals (BoPTA)?

BoPTA members are private citizens appointed by the Multnomah County Board of County Commissioners. They are not professional appraisers, but have training, experience and knowledge in property valuation.

BoPTA members are not part of the Assessor’s Office. BoPTA members are not part of the Assessor’s Office and they play no role in setting any of the values on your property.

BoPTA may be thought of as a panel which decides the value of your property based on the evidence you present.

Hearing decision

When can I expect a decision?

BoPTA hears all the day’s testimony before making any decisions. The decision-making process is typically between 2-4 pm. You are welcome to observe this process, however you will be unable to comment or offer any further testimony.

BoPTA’s decisions are not available by telephone.

Whether you are present for the decision-making process or not, a written Board order will be mailed to you or your representative within 8-10 business days after the hearing.

What if I disagree with the BoPTA’s decision?

Information and instructions on appealing BoPTA’s decision to the Oregon Tax Court will be included with the written decision.  For more information, visit the Oregon Tax Court’s website(link is external).

Interview with Jake Planton of Rose City Mortgage


 

 

 

 

Jake Planton
Senior Loan Officer
Rose City Mortgage, NMLS 272695
503-475-3788

www.JakePlanton.com

NMLS #209327


http://www.rosecitymtg.com

 

 

 

Interview with Jeff Foody of Reverse Mortgages Northwest


Jeff Foody answers some important questions regarding Reverse Mortgages.   Reverse Mortgages is not for everyone, but for those that need its flexibilities it can be a life-changing opportunity.    It is important that people that seeks a Reverse Mortgage work with Loan Officers that understand the  loan product as much as Jeff Foody does and that will not be easy.    After watching this video if you still have questions please feel free to contact Jeff .  I am sure he will be able to answer your questions and help you learn if this loan product is good fo your situation or not.

 

 

 

Jeff Foody
Reverse Mortgage North West
503-427-1667
http://www.reversenorthwest.com

Tips To Make Your Home More Eco-Friendly,


Tips To Make Your Home More Eco-Friendly

 

 

Trying to make your home more eco-friendly is easier than you might think. There are several small things you can do, in each room in your house, to make your carbon footprint a much smaller one. The more we do to go green in our homes the better off our environment will be.

With changes in the climate a serious threat to our way of living, it is the responsibility of every person to make changes to their everyday lives that will have a greener impact and help to slow down the effects of global warming. One of the easiest places to start is by making your home more eco-friendly.

Going green at home does not require you to spend lots of money; in fact, it can actually save you money! Whether you take on small projects or large overhauls, every step we take towards being more energy conservative is one step closer to making the world a better place for the next generation. Here are some tips to help you get started and make your home more eco-friendly.

 

 

 

 

Living Room Energy Savings

The living room is typically one of the most used rooms in the home, and often responsible for a large portion of the energy that your home uses. Make a more energy efficient living space and go greener by following these simple to install tips:

  • Replace the light bulbs: Swapping your incandescent bulbs for energy-saving Light-Emitting Diodes (LED) or Compact Fluorescent Lights (CFL) bulbs will save you money on your electricity bill as well as being better for the environment. It is estimated that CFL bulbs use roughly 70% less energy than traditional incandescent ones.
  • Unplug your appliances: Even when your TV or games console is switched off or on standby it uses electricity. Get into the habit of unplugging things at the end of the day to save energy and money. Take a quick walk through your home and it will become abundantly clear how many devices you can unplug to conserve energy.
  • Use draft excluders: When all the family is in the living room it is a good idea to heat that room and use a draft excluder to prevent heat escaping under the door. They come in a variety of colors and styles too.
  • Have carpets fitted: Carpet will make your living room feel warmer and cozier, but if full carpet is not an option, laying a rug on your wooden floor can have the same effect. The extra insulation can help reduce heating costs.
  • Install dimmer switches: Turning the lights down low creates a nice cozy atmosphere and uses less energy, which will also save you money. The savings are dependent on how dimly you light the room and the type of light bulbs you use.
  • Open the drapes: During the day when the sun is shining, open the drapes and let the sun warm your home naturally; this even works in winter. Using natural lighting is an easy approach to conserving energy.
  • Close the drapes: When the sun goes down and your heating comes on, close the drapes to prevent heat from being lost through the windows. This simple step can reduce heat loss by as much as 15% in an average home.

 

 

Kitchen Energy Tips

The kitchen is the hub of many American homes, and it is often packed full of energy-guzzling gadgets and appliances. Here are some ways you can cut down your kitchen energy usage:

  • Cook in batches: Cooking meals in batches and freezing portions will save energy, time, and money. Defrost and reheat the meals in the microwave throughout the week because microwaves use less energy than conventional stoves. How much less? The energy savings typically start at 30 percent and go up based on usage.
  • Choose low energy appliances: Many older models of dishwashers, fridges, and freezers  are not very energy-efficient. When they need replacing, opt for low energy ones instead. Look for the Energy Star logo to improve energy efficiency, maximize your eco-friendly efforts, and have the kitchen you always wanted.
  • Clean your refrigerator coils: Dust and grime can build up on the coils, preventing your fridge from working as efficiently as it should. Clean the grime away and it will use less energy.
  • Place your refrigerator in the shade: If your fridge is in direct sunlight it will be a couple of degrees warmer, have to work harder, and use more energy to stay cool inside. Every little bit of energy conservation helps.
  • Fill your dishwasher: Running your dishwasher uses around half the water it takes to wash the dishes by hand. Ensuring it is full before running will be more time and energy efficient. Using it in energy-savings mode, if available, will help cut consumption even more.
  • Compost your food waste: Rather than throwing your leftovers and food scraps down the garbage disposal, collect them in a small bin in the kitchen, and invest in a compost bin for your garden. It will help keep you on track with your outside eco-friendly options.
  • Keep your freezer full: A full freezer will run more efficiently than a half-empty one. Try filling it with those batch-cooked meals to save time throughout the week.

 

 

 

Bedroom Eco-Friendly Advice

The bedroom is another room that you spend a lot of your time in, both sleeping and relaxing, so make sure you follow these tips to keep things eco-friendly in there:

  • Use eco paints: When it comes to redecorating your bedroom choose eco-friendly paints with low levels of volatile organic compounds (VOCs). Eco-friendly paints are better for the environment and better for your health. Water based paints contain less VOCs than oil based paints.
  • Choose a non-toxic mattress: When it is time to replace your old mattress (every 7 to 10 years), choose a new one that has not been treated with synthetic chemicals or toxic materials. Choosing one made with organic cotton,  wool, or latex made from rubber tree sap, is a good way to be more eco-friendly and still get a good nights sleep.
  • Choose organic linens: Non-organic cotton accounts for around 25% of the world’s insecticide use, so switching to organically grown cotton sheets, or those made from sustainable bamboo fibers, is much better for the environment. They are also softer to the touch.
  • Ditch the air purifier: An air purifier makes the air in your bedroom cleaner to breath, but it also uses a lot of energy. Unless you have allergies or asthma, a houseplant or two in your bedroom will clean the air just as well without the constant hum.
  • Unplug your phone charger: Most of us charge our phones overnight next to our beds, and leave them plugged in constantly. Try to get into the habit of unplugging your charger each morning as it will still draw electricity from the grid whether it is charging your phone or not.

 

 

 

 

Bathroom Energy Efficiency

A great deal of energy is used in the purification of water before it reaches your bathroom faucets and shower. By cutting down on water usage you can help the environment. Here are tips to help you conserve energy in the bathroom:

  • Turn the faucet off: When you are brushing your teeth, do not leave the water running. Instead, fill a glass with water, turn off the faucet, and use the glass of water to rinse your mouth and wash your toothbrush. According to the EPA, this simple step can save up to 8 gallons of water each time you brush your teeth.
  • Fix that leaky faucet: Did you know that up to 48 gallons of water can be lost each week from a leaky faucet? All the more reason to get it fixed as soon as you notice it is leaking in order to prevent that water from unnecessarily being wasted.
  • Install a low flow shower head: You will not notice the difference in water flow, and you will still be as clean as a whistle, but you will be using a lot less water with each shower you take.
  • Install a water saving toilet: Or use a cistern displacement device to reduce the amount of water that gets flushed away each time. Depending on the model you replace, your savings could be up to 4 gallons per flush.
  • Do not flush every time: It is not always necessary to flush the toilet after every single use. If there is just you and your family in the house, flush it after every two or three trips instead and you will use a lot less water. Use common sense if you use this option.
  • Open the window: After showering, crack the window open to let the excess humidity escape. If it stays in the room it can lead to mold, which then creates a situation that may involve using harsh chemicals to clean away the mold or mildew.
  • Shower instead of bathing: Taking showers instead of baths typically uses up to 14% less water. It also takes less energy to heat the water for a shower than it does to run a hot bath.

 

 

 

 

Going Green Around the House

There are so many other ways that you and your family can make your home life much more eco-friendly. Some of these go green in the home tips include:

  • Recycle: There are so many everyday items that can be recycled, including all types of paper and cardboard, plastic bottles, glass bottles and jars, and aluminum cans. If you live in one of the eleven states with bottle bills, you can even redeem plastic bottles and aluminum cans for cash!
  • Have double glazing installed: Up to 25% of heat can be lost through the windows, but having double glazed windowsinstalled throughout your home will keep a lot more of the heat in, making your home feel much more cozy without the need to crank up the thermostat.
  • Wash clothes on a cold cycle: Using the cold cycle on your washing machine will still wash your clothes effectively, but it will save you energy and money too. The results might surprise you so give it a try.
  • Hang the laundry out to dry: Using a dryer is obviously a quicker way to dry your clothes, but they use a lot of energy. Make the most of warm or windy weather and hang your laundry outside to dry naturally.
  • Layer up before turning the heating up: If you are feeling cold, throw on a sweater or get under a blanket before you reach to turn the heating on or turn it up. Keep throws or blankets handy so you are not tempted to reach to the thermostat.
  • Switch to paperless billing: Choose to receive credit card statements and utilities bills via email rather than in the mail. Many companies even offer a discount on their services if you choose to view and pay your bills online. You can even get much of your snail mail delivered online if you ask.
  • Cut down on chemical use: Opt for chemical-free cleaning products, or better still, make your own! Ingredients that you already have in the cupboards, like baking soda, vinegar, olive oil, and lemon juice can be used to make a variety of cleaning solutions.
  • Install solar panels: They are not cheap, and it can take years to recoup the upfront costs, but if you live in a sunny climate and plan on living in the home long-term, they could be a great option. A decent reduction of power consumption is what you can expect if you install solar panels.

There are lots of other ways that you can live a greener lifestyle, both in and out of the home, but adopting a few of the tips shared above is a great way to start. If you have children, try to get them into eco-friendly habits from an early age, as they are the ones that will benefit the most from taking care of the planet in the long run.

 

 

 

 

FHA EASES CONDOMINIUM PROJECT APPROVAL REQUIREMENTS: Temporary guidelines will increase number of condominium projects eligible for FHA approval


WASHINGTON – The Federal Housing Administration (FHA) today published new guidelines under its condominium approval process intended to increase affordable housing options for first-time and low- to moderate-income homebuyers.  Effective immediately, FHA’s temporary guidance will streamline the agency’s condominium recertification process and expand the eligibility of acceptable ‘owner-occupied’ units to include second homes that are not investor-owned.    Read FHA’s mortgagee letter.

These provisions will expire in one year and serve to revise FHA’s condominium approval process until the agency can implement a more comprehensive condominium rule change.  Today’s guidance:

  1. Modifies the requirements for condominium project recertification;
  2. Revises the calculation of FHA’s required owner-occupancy percentage; and
  3. Expands eligible condominium project insurance coverages.

Streamline Condominium Recertification

FHA-approved condominium projects require recertification after two years to ensure that the project is still in compliance with FHA’s eligibility requirements and that no conditions currently exist which would present an unacceptable risk to FHA.  For existing condominium projects seeking recertification, FHA will now only require applicants to submit documents reflecting any substantive changes since the project’s prior approval.

Calculation of Owner-Occupancy

The procedure for calculating the required owner-occupancy percentage (50 percent) is modified to allow units that are not investor-owned to be considered owner-occupied for the purpose of Condominium Project approval.  A condominium is considered to be owner-occupied provided they are not:

  • Tenant Occupied;
  • Vacant and listed for rent;
  • Existing (previously occupied), vacant and listed for sale; or
  • Under contract to a purchaser who does not intend to occupy the unit as a Principal Residence or Secondary Residence.  The term Principal Residence and Secondary Residence have the same meaning.

Expansion of Eligible Condominium Project Insurance Coverage

Homeowners’ Associations (HOAs) are required to maintain adequate “master” or “blanket” property insurance in an amount equal to 100% of current replacement cost of the condominium (exclusive of land, foundation, excavation and other items normally excluded from coverage). Insurance coverage for condominium project approval that consists of pooled policies for affiliated projects, state-run plans, or contains coinsurance obligations on the part of the policy holder is now permitted to satisfy this requirement.

 

 

###

HUD’s mission is to create strong, sustainable, inclusive communities and quality affordable homes for all.
More information about HUD and its programs is available on the Internet
at www.hud.gov and http://espanol.hud.gov.

You can also connect with HUD on social media and follow Secretary Castro on
Twitter and Facebook or sign up for news alerts on HUD’s Email List.