Should I sell my house?

Discussion in 'After Hours Lounge (Off Topic)' started by Dave Poehlman, Jan 28, 2004.

  1. Dave Poehlman

    Dave Poehlman Producer

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    Okay.. I live adjacent to a large tract of undeveloped land that has laid pretty much unused for 20 years. In fact, that wilderness area is one of the reasons I bought my home.

    Anyway.. a large company bought a large parcel of this land and is putting a large office building on it. This is fine with me also, since it's on the opposite end of the wilderness from my house.

    However, now the city in which I live is excited to get this land developed. So, now they're proposing a TIF district in the area (that may possibly include my home) to create a business park. At this point, it's only in the feasibility stages whether it would be worth it to do the TIF and whether my home will be included.

    So, here's my problem. In the last business park the city "TIF'ed" some residents who were displaced by eminent domain were offered 2 times the value of their home (it's rumored some residents even got 6 times!) So, part of me wants to ride it out to see what I can get... however, another side of me says, "I don't want to live in the middle of a business park and put up with all the traffic and construction" so, that part of me wants to get out while the getting is good and cut my losses.

    My wife and I really love our house and think we'll be hard-pressed to find another that we like as much.

    Another point is, if the TIF doesn't go through, the area may still be lucrative to businesses because of this large "anchor" business in the area... so, we may still be "bought out" by businesses directly someday.

    And when I use the word "someday" it means nothing may happen in my area for 10 years! With the economy still shaky, businesses may not be so eager to invest in new real estate and the park may just sit undeveloped like it is now.

    Anyone here have experience with something similar?
     
  2. Jeff Ulmer

    Jeff Ulmer Producer

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    That sounds familiar. My family lived in an area that was being looked at for redevelopment, and has since been completely gutted for condos from the standalone houses that were once there. These plans are prone to failure, and can cause a lot of grief, especially if there are other neighbors who may or may not be eager to settle. It is possible that you could get a decent price for your house, but you could also get stuck beside an eyesore that devalues your property. In one extreme case, a homeowner refused to sell, and rather than getting an outrageous offer for their house, the developer simply built a 4 story building around their house. The area was rezoned, and they had to sell out for a fraction of what they were offered due to the excessive property taxes.

    Also, living next to a construction site isn't much fun either. I'd see what they offer you, and if it looks reasonable, and you can find something similar, take the money and run.
     
  3. MikeAlletto

    MikeAlletto Cinematographer

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    If they don't offer to buy your home you are going to have a hell of a time trying to sell it.
     
  4. Bill Kane

    Bill Kane Screenwriter

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    Dave,

    In these tight economic times, you're correct to suspect that such an enterprise district won't be an overnight thing.

    Here's an EXPLAINER

    Just remember we are a govt of laws, so keep informed thru (1) visiting the planning department(2) keeping abreast of items on the Planning Commission agenda and (3) ultimately the City Council.

    A newspaper reporter who takes an interest in the matter also wud be a contact to cultivate. Usually, tho, zoning is BORING and no one gives a shit until it's NIMBY time.

    Will you make a killing at the public trough? Existing property owners may be bought out, but if I were a fellow city taxpayer I'd want to see a fair market value plus some incentive paid you, but not 3 to 6 X!

    bill
     
  5. Dave Poehlman

    Dave Poehlman Producer

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    Another problem is our son will be starting school in the fall, and we want to avoid him getting established and then uprooting him in a year or two to move to a new neighborhood.

    We've also been kicking around the idea of building a house. This idea does appeal to me because we would get the house with the amenities we want. How does that work? Do I put my current house up for sale while my home is being built? Is there some sort of bridge loan involved there? Any pointers on getting a house built?

    Yaknow what would solve this problem... if I won the lottery... I'm going to go buy a ticket right now.

    If I set up a paypal account.. anyone want to contribute to my new house fund? [​IMG]
     
  6. Jeff Ulmer

    Jeff Ulmer Producer

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    Unless you have enough income to support the payments on two properties for a while, I would be very cautious about building until your house is sold. I've seen that situation first hand as well, and it can be a disaster.

    My family was assured that our existing home would be easy to sell at the asking price when it went to market prior to the start of construction. By the time the house was finished (and the new mortgage had to go on), we had dropped the price on the old home and gone over budget on the new one (which ALWAYS happens). The result was two mortgages for a few months, a substantial decrease in the selling price, and an unmanageable new situation. After a year of planning and building, the new house was sold within a year.
     
  7. Malcolm R

    Malcolm R Executive Producer

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    Definitely. And just the fact that such a development has been "proposed" might already make it very difficult to sell your current house at a decent price.
     

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