The sad state of residential real estate in Cuyahoga County is the topic of an in-depth Businessweek report today. It comes on the heels of a 60 Minutes segment that aired Sunday highlighting foreclosed and vacant homes in Cleveland.
But Businessweek focuses on yet another harbinger of doom: The county real estate reappraisals that will be conducted during 2012. The county reappraises property every six years.
According to a Federal Reserve report issued earlier this month, property values countywide are expected to drop between 11 and 18 percent. The Feds predict that property in Cleveland will lose 38 to 45 percent of its value, while that in inner-ring suburbs will lose 26 to 30 percent once the reappraisals are done.
If property values decline that much homeowners will benefit from paying less property tax come 2013, but school districts will get the hit—schools derive most of their funds from property taxes.
This article appears in Dec 14-20, 2011.
The City is sleep, the Banks are not thinking. Those homese need to be sold for pennys on the dollar. Literally penny’s on the dollars. Homeowners who purchase the property must be ready and willing to bring the property up to code, and also must reside in the home for 24 months to assure the property is brought up to code.
Until the Government stop allowing banks to hold on to these vacant property’s without maintaining there up keep, the value of Cleveland city homes will continue to drop.