Whatever it takes.
This is the view from my roof deck on top of the condo I bought in Jersey City Heights in July of 2016. According to the new tax evaluation imposed by Jersey City, my view just got more expensive.
Jersey City was on a tax freeze, which in my opinion, was simply just a way to have real estate properties sky rocket quickly. Property values since 2012 did just that.
Now, we have home owners and investors who are significantly going to be in harms way, with increasing mortgage payments, shortage of escrow accounts, causing thousands of dollars needing to be sent to the mortgage company due to this new valuation assessment. To make it even worse, we are going to see many elderly home owners be in financial turmoil, as many live on fixed incomes including pensions and social security. I wouldn’t be surprised if more than half of the home owners can no longer afford their mortgage payments.
Here are some facts:
- February 2018 — Notification of assessed value of home and 2018 property taxes will be mailed no later than the week of Feb. 19.
- February-March 2018 — Current deadline for the informal appeals process is March 15.
- May 2018 — Formal Appeals Deadline. (The deadline is to be determined.)
- July 2018 — Notification of final 2018 tax bill.
When these events take place, the only people that benefit are the municipalities. This is absolutely going to impact real estate prices in a negative way.
Today I received a call from my friend in the Bronx asking about my taxes. He called because his friend called him, who also lives in Jersey City, and said her taxes went from $16,000 per year, to over $40,000 a year. This increases her payment by over $2,000 per month. Your average person cannot afford this type of increase.
What also frightens me is that many downtown condo buyers bought their condos with ARMS, or Adjustable RATE mortgages, and those loans are set to come do, adjust, this year and continue through the next 4 years. If someone has a 3% rate in their current ARM loan, combining the adjustment up to 5%, and their real estate taxes doubling, their mortgage payment could increase thousands of dollars per month.
Consumers need to explore all options now. Not when it is too late, not when their taxes are finalized, and not when their adjustable rate mortgage goes up to the new current market rate between 4% and 5%.
If you know anyone that lives in Jersey City, please direct them to my website
RefinanceJerseyCity.com is a site to get consumers to begin the process and explore options now. If you want to learn more about me, please visit TheMortgageQuarterback.com — I have created a NO CLOSING cost loan program through my bank Residential Home Funding, which if the borrower qualifies, they will not pay a penny in closing fees. These fees are inclusive of application, processing, underwriting and commitment fees. In some cases, we can give a lender credit to pay for additional closing costs such as legal fee, title insurance, and appraisal reimbursement.
Even though I am no longer personally originating residential mortgage loans, and I am just managing and growing my team, I am still the best at structuring loans, educating consumers, and giving people real affordable options to help maintain their home and lessen the financial burden.
Please, help someone today, before they lose a lot of money.
The Mortgage Quarterback
Yes, this picture to the left was from 2013. I wanted to see if you were scrolling all the way down.