Clients and friends ask how recent tax changes will affect our real estate markets and values.
I attended a seminar on the subject by the eminent NJ appraiser and market tracker Jefferey Otteau. His thesis is that after ALL the changes to the tax code are factored in, the real cost of owning won’t differ so much as to alter buyers’ plans. The attractions of ownership are far greater and more varied than tax benefits alone.
Otteau projects that the 1st quarter this year will make a sluggish start while everyone digests the facts. After people sit down with their accountants to file this year’s taxes, they will have a better understanding, and the deer-in-the-headlights effect should clear up. Home appreciation will continue, at an incrementally slower pace than it would have without tax changes. This may be the anomalous year where it is advantageous to wait until March or April to put a home on the market. I have traditionally advocated for January/February.
Next Month, we will to a year to year comparison of contracts signed in Jan-Feb, for a first peek at any variations in market temperature.
Curious about your home’s value?
Please click below for the market update of interest to you:
Garwood
Millburn-Short Hills
Summit
Westfield by Grade School:
Tamaques
Scott Gleason scott@luxuryhomesnj.com
Coldwell Banker Realty
Luxury Homes for Sale in Westfield