Land valuations - dropping, rising?

[wylie]

I received our annual land valuation notices a few days ago for three Coorparoo properties. Our PPOR stays at $475K but the two IPs back to back on 906 sqm each dropped rom $530K to $500K and from $500K to $475K.

How are other areas faring? Dropping? Rising? Flat?

This reflects our experience in pricing generally in our area. My parents' house was last valued at $1.1M and we were faced recently with deciding to list it. When it seemed we would be lucky to clear $900K after commission, we took it off the market and rented it.

Yet word from "around the traps" seems to be that those houses well over $1M are selling, those well under $1M are selling, but this pocket $700 to $1.2M (?) is in trouble.

A house in our street, last offer before GFC at $820K (early high offer was withdrawn though - so perhaps it was too high anyway) just sold for $710K and another house in a street we hold another IP last sold in 2007 for $810K and again middle of 2012 for $670K. They are demolishing and building new.

 

[INVSTOR]

I just got one for Parkinson saying its risen by $22500 in a year. I have noticed selling prices are up also.

 

[pinkboy]

All mine went up circa 10%

pinkboy

 

[joanmc]

All of ours in Caboolture/ Morayfield have dropped, some by quite a lot over the last 2-3 years from 157000 to 127000. In real terms those houses have dropped from a high of around 250k down to around 170k some reasonable returns though as they rent for 250+ per week. Not great for our LVR

 

[nhg]

All my St Marys ones are $200k for 700sqm.

I thought it would be around the $150k mark.

Wish I had purchased the last one under a trust structure as I gain no benefit now

 

[Angel]

Our IP at Gladstone went up by $35,ooo. That was for the time that the previous owner owned it. It has dropped in market value significantly since October 2011, does anyone think it is worth the hassle to object?

 

[anson_he]

I have my gladstone water front apartment valued a year ago. First val came back as $500K and I challenged it and second full val came back as $560K a week later, which was still below the market value of $600K at that time.

When I had it valued again last week, it came back as $500K again and I have challenged it. Now waiting to see what value will come back.

I would suggest you to challenge the val fi you need have the equity released for next IP and ask for a full val instead of desktop val they usually do. In the past, I have at least achieved 30 to 40K up from the first val after challenging it.

 

[Scott No Mates]

What result do you want? In NSW the valuation for land tax is averaged over the previous 3 years, so a change in the current year will only result in a small change. There is no blanket that all properties will increase/decrease at the same time or rate as the OSR utilises bulk valuation methods (which differ significantly from desktop, driveby or full valuations).

 

[wylie]

... does anyone think it is worth the hassle to object?

My mother used to object every year. Sometimes she won, most times it was a waste of time. But she enjoyed "having a go".

What result do you want? In NSW the valuation for land tax is averaged over the previous 3 years, so a change in the current year will only result in a small change. There is no blanket that all properties will increase/decrease at the same time or rate as the OSR utilises bulk valuation methods (which differ significantly from desktop, driveby or full valuations).

I don't want anything . I was merely curious about how they actually value these days. I do recall around 20 years ago a chap coming in our yard (high on a ridge line) to see what our city views were like. I said "come on into the back yard, we have no views". Our valuation still rose significantly. They were visiting all the ridge lines and bumping the values up, lower rises as they went downhill.

Just after that a moratorium was called, and our unimproved value (when our house (20 perches) was worth about $150K was about $70K whilst "Scotby" on 90 perches in East Brisbane (landmark mansion, tennis court, ballroom, library, had just sold for around $800K) was valued at about $40K . (Prices probably not entirely accurate - taken from my memory, but you get the idea.)

I've just always wondered if they still walk the streets and ridges or drive by, or how it works now.

 

[Angel]

I have my gladstone water front apartment valued a year ago. First val came back as $500K and I challenged it and second full val came back as $560K a week later, which was still below the market value of $600K at that time.

When I had it valued again last week, it came back as $500K again and I have challenged it. Now waiting to see what value will come back.

I would suggest you to challenge the val fi you need have the equity released for next IP and ask for a full val instead of desktop val they usually do. In the past, I have at least achieved 30 to 40K up from the first val after challenging it.

Are we talking about the same thing? Wylie and I were talking about
the land values that came in the mail the day before, for council rates and state land tax purposes, not bank vals for loans.

 

[Tim86]

My council land valuation for my properties in salisbury all stayed the same.

 

[chindonly]

Hi Wylie,

My four Brisbane properties have all stayed the same.

The ones from work are in the majority the same, with one a small drop.

Cheers.

 

[INVSTOR]

Are we talking about the same thing? Wylie and I were talking about
the land values that came in the mail the day before, for council rates and state land tax purposes, not bank vals for loans.

The last time I went for a loan in Bris the bank looked at the rates valuations. They were a bit confused about the WA rates notices as our rates are calculated on rentable value, not land value.

 

[L and P]

Our Brisbane ones and Bribie Island all stayed the same.

 

[mattysavager]

Mine stayed the same in Coorparoo and Greenslopes.

I get a lot of them via work (and obviously look at them), and the overall trend was either the same or upwards.

One went from $500k to $600k in West End. Thats a huge % and $ rise in value. I would object if I were that owner.

Only a couple went down, and they were in the outer ring of our managements on the most part.