One fun part of looking at old homes all day is marveling at the lifestyles of our turn of the century ancestors. Their homes were uninsulated, had poor heating. Homes were laid out oddly. Most of all- they were smaller.

The turn of the century homes that you see around Portland these days have generally been expanded considerably. It would not have been unusual to see an entire family live in a 500 square food house. Just imagine that. Scary?

But imagine the upsides. You are living simpler. You have less stuff. You have less space to clean and maintain.  You can spend more time doing what makes you happy, and less time worrying about keeping your home from falling apart.

There is a new lifestyle movement out there that is trying to bring some of these values. Here is a great blog all about it: The Tiny House Blog.

Coincidentally, there is a post there that mentions one of my listings! Isn’t that amazing!

After two weeks of delay, the Senate last night cleared the way to pass a seven month extension and expansion of the tax credit for homebuyers.  By an 85 to 2 roll call vote, the Senate voted to cut off debate on a package of measures that includes the homebuyer credit, making it virtually certain that the legislation will reach President Obama for his signature this week.

The homebuyer tax credit, due to expire in 28 days, would be extended through April 30 of next year.  First-time buyers who are in process of making a purchased would not need to worry about qualifying for the $8,000 credit if they close after the November 30 deadline.

For the first time, the legislation cleared last night makes move-up buyers as well as first-time buyers would be eligible for a credit.  The $8,000 maximum first-timer credit will continue and will now available to couples with income up to $225,000, a nearly $55,000 increase above the level in existing law.  A new $6,500 maximum credit would also be available to move-up homeowners who have lived in their current residence for five of the prior eight years.

The tax credit has fired the housing market, driving existing home sales to the highest level in over two years.  The National Association Realtors reported sales jumped 9.4 percent to a seasonally adjusted annual rate of 5.57 million units in September and are 9.2 percent higher than the 5.10 million-unit pace in September 2008.

Many people are wondering if they should appeal their property taxes due to the decline in the National Real Estate Markets.  In order to decide whether you will be successful in saving some money annually you need to know how taxes are figured.  Here is a brief summary. 

The Key point is that your taxes are calculated on either the market value or the assessed value which ever is less.  When all these measures were voted on and passed North Portland and inner Northeast Portland was viewed as a less desireable place to live, hence the assessed values were low at that time.  Many people target these area’s now to take advantage of the low property taxes. 

Taxable Value Limitations

Over the years, Oregonians have approved three measures that affect property taxes.  Measure 50 has had the most impact on the ways property taxes are collected in the state. 

• 1990 - Measure 5:  This measure limited tax rates to $15 per $1,000 of market value. Still in effect when assessed, or taxable, values are close to market values.

• 1996 - Measure 47:  A key provision took assessed values for each property back to 1995, cut that figure by ten percent, then allowed taxable values to rise by three percent a year going forward.

• 1997 - Measure 50:  Maximum Assessed Value is allowed to increase each year by no more than three (3) percent. There are exceptions to this limit, however. The addition of a new structure, major improvement of an existing structure, and subdivision or partition of the property are examples of exceptions that would increase MAV by more than 3 percent.
   
  Each year the MAV and RMV for each property are figured. The property is then taxed on the lesser value, which is called the Taxable Assessed Value (TAV).

Summary

Property is assessed at the Real Market Value.

• The Real Market Value is compared to the property’s Maximum Assessed Value. The Maximum Assessed Value is allowed to increase each year by no more than three (3) percent.

• Each year the MAV and RMV are figured. The property is then taxed on the lesser value, which is called the Taxable Assessed Value (TAV).

Visit Portland Maps to view a property’s tax.  Just insert a Portland address and the first page will give both the Market Value and the Assessed Value of the property.  Clicking on “Assessor” will provide the details of the property tax.Property taxes are calculated on the market value or the assessed value, which ever is less. 

Time is running out for first-time homebuyers!

On December 1, 2009, the first-time homebuyer tax credit expires. That means that buyers have to find a house, complete a contract, satisfy any contingencies, secure financing and go to closing by November 30, 2009.

Nationally, the tax credit is working! Home sales to first-time homebuyers increased by 25% in 2009 and now account for 50% of all sales.  Significantly, the tax credit is reducing the inventory of foreclosures that are sitting on the market, helping our neighborhoods and communities recover.

For more information please follow this link to the article in The Portland Business Journal!

[EDITORS NOTE: Andee is being demure. Follow the link to read an interview with Andee about the market.]

One of my favorite spots for vintage homes in Portland is in a tiny 6 block zone; south of Killingsworth, north of Alberta, east of Williams and west of MLK. It feels like Piedmont- has the same grand historic homes on tree lined streets- but is slightly less expensive and slightly rougher around the edges. The neighborhood is dominated by classic turn of the century homes, Foursquares, Tudors, Bungalows, and so on.

There are plenty of well updated homes in great shape in this neighborhood. Take a look at these examples. Your classic Foursquare:

A button cute brick cottage:

Here is a detail from the most famous house in the hood:

This entry is not original, but they did an amazing job on it:

Classic bungalow:

If you love homes that need a bit of labor and love, this neighborhood is perfect for you. This wonderful Craftsman era woodwork in this kind of condition is somewhat common. Dry rot is minimal, it just needs some scraping and painting:

You can also find some truly unique features that need a little love like this doorway:

This house is one of a kind, I call it the Monocle House:

Supply is very tight, typically there are only a handful of homes for sale at any given time. Fixers are a good value for the area- there is a wonderful Foursquare for sale right now for under $350k. A fully updated Tudor is also available for just over $400k. Check out our Portland Home Search software for more details.

Why cowpeas and buckwheat? Because, if you got a chance to hang out with us at the Mississippi Street Fair, you probably have a seed packet with a fall cover crop mix of cowpeas and buckwheat.

Why plant cover crops? It makes your veggie garden look better in the fall and winter, you extend your planting season, you improve your soil, and you get to eat cowpeas (you probably have eaten them as “Black Eyed Peas”). You theoretically could harvest enough buckwheat to make one pancake as well!

Convinced? Take your free seed packet (or head over to Buffalo Gardens on Alberta to buy your own) and head out to your garden sometime before early October. Find an empty spot and mix the seed packet into the soil to depth of about an inch. Keep the soil moist till the seedlings get about Smurf sized (3 apples tall). Both buckwheat and cowpeas are relatively drought tolerant once they are about knee high to Ryan Seacrest (6 apples tall), so you wont need to give them nearly as much water as your other veggies.

Vintage Real Estate will be at the Street Fair!  We will be giving away $100 gift certificate from one of our local businesses.  Come to 4205 N Mississippi in front of the bright orange house to get current stats on our local market, get property flyers on vintage homes, sign up for daily emails of homes for sale and talk to your local market professional!

The fun starts at 10am, go to mississippiave.com for all the details!

We hope to see you there!