It's Tuesday again, which means it's time to showcase another true life deficient condition.
While there is absolutely no correlation between a deficient condition in a house and a specific day of the week, I needed a category title and this was the best I could do.
Deficient Condition is defined in our purchase and sales agreement as:
"A structural, mechanical or other condition that would have a significant adverse effect on the value of the Property; that would significantly impair the health or safety of future occupants of the Property, or that, if not repaired, removed or replaced would significantly shorten or have a significant adverse effect on the expected normal life of the Property. Deficient condition does not include structural, mechanical or other conditions the nature and extent of which Buyer had actual knowledge or written notice before signing this Agreement."
The following deficient condition is an odd one as the deficiency stems from the installation of a brand new heating system. As you can see there is a new oil fired furnace in this basement. The problem? The oil feel line was never secured properly. Old school method was to dig a small trench and bury it. New school method is to go above everything from the tank and run it down to the furnace. Basically we want to avoid a potential leak, and in this case a trip hazard as well. Getting an oil feed line crimped is pretty easy to do when exposed. If there was a full tank of oil, possibly hundreds of gallons of heating oil could flood the basement. Then it becomes a DEM cleanup issue.
Thankfully, the sellers immediately rectified the deficient condition. They were shocked as well to learn this had been done improperly.
Providence's Finance Committee Votes in Favor of Tax Hike
Even Higher Rate Increase for Small Landlords
On July 14th, the Providence City Council's Finance Committee voted to increase the property tax rates for residential and commercial property and eliminate the homestead exemption for owners of 1 – 5 non-owner occupied properties, (July 16thand July 20th articles in the Providence Journal).The full City Council will vote on July 26th.
Details of the Proposed Increases:
25.5% increase in residential property tax rate: The residential property tax rate would increase from $24.21 per $1,000 of assessed value to $30.38.
Additional 33% rate hike for small landlords:The Council will vote to repeal a homestead exemption for non-owner occupied rental properties of 1 – 5 units.If approved, this will result in an additional 33% increase in the property tax rate for owners of these properties. This will mean a grand total of a 58.5% tax increase for some landlords.
17.8% increase in commercial property tax rate:The commercial property tax rate would raise the commercial rate from $28.60 per $1,000 of value to $33.70
When will these increases take effect?Immediately? Retroactively? Property owners will receive revised tax bills in August, (July 16thProvidence Journal).
Mayor Scott Avedisian in studio discussing T.F. Green's airport expansion plan.
Mayor Avedisian was a great guest explaining for almost the full hour about how the expansion of the T.F. Green runway was originally proposed a decade ago, and the positive and negative effects it will have on Warwick.
One thing we all learned was the train station stop at the airport is the closest air to rail connection in the country. Hopefully this will attract commuters to Boston and other rail points to see the value in our housing and look to move the area.
The effect on local the real estate market around the airport area - specifically house values. [1:23m]: Play Now | Play in Popup | Download (5)
Choosing a Smaller House Doesn't Always Mean You are an Empty Nester.
I was interviewed last week by Cheryl Phillips, Real Estate Contributor to GoLocalProv.com on the growing trend in buyers looking for smaller homes, regardless of how many people are living there.
"…Downsizing isn't just for empty nesters anymore. More people, including first time homebuyers, are moving into smaller homes and learning how to live with less.
Just how much home space do you need? Can you live with fewer possessions? And what do you do with the stuff that takes up too much space?
These questions are important in a time when making a home buying decision is based on needs rather than wants…"
The graph below represents the drop in 30 year fixed mortgage rates since April 21, 2010. Incredible. But it's also a reflection of our lagging economy and global fears of the world's economic stability.
Tax Credit Extension Would Allow Three More Months to Get Credits.
To qualify for the credit, buyers had to be under contract for a purchase by April 30. But under current law they have until June 30 to close on the sale.
Under the amendment, they would get an extra three months to close — useful for [...]
45 Years and Counting for the Gaspee Day Parade
From my Warwick, Rhode Island Page:
"Warwick holds claim to the first violent act against British rule when in 1772 local tax revolting patriots boarded the British ship Gaspee and destroyed it. In history this was known as The Gaspee Affair, the first bloodshed of the American Revolutionary [...]
Providence's Finance Committee Votes in Favor of Tax Hike
Choosing a Smaller House Doesn't Always Mean You are an Empty Nester.
