Ask George & Chuck: Questions From Consumers - January 25, 2005
by George Stephens & Chuck Jacobus
Dear Ask George: Thanks George for answering my question regarding the mortgage company in Massachusetts. Your answer helped quite a bit. I guess you don't publish all the questions that you receive. Is there some type of selection process? Is it O.K. to assume that I can present general questions regarding mortgages and real estate, and you will answer them through your email? – Asking Dear Asking: First, Chuck and I are pleased you were helped by our answer. As to your second statement, you are correct in that we don't publish every question we receive. However, in response to your second question, we try to answer all questions or comments we receive. Dear Ask George: I bought my house seven months ago and I am finding that my yearly property tax is at least $1500 more than other houses in my neighborhood. I found this out from homes that are selling in my neighborhood. The previous owner had this house donated to a trust that belonged to his wife. Also, the previous owner used the basement as his medical office since he was a physician. Perhaps these are reasons my tax is so high. This is my primary residence and I need some suggestions as to how to adjust my property taxes with houses in my neighborhood. Is there a website that I can go to and compare taxes with homes in my neighborhood? I live in Maryland, in Prince Georges County. Any suggestions would be extremely helpful. – Too Taxed Dear Too Taxed: Try visiting the Maryland State Department of Assessments & Taxation website. Note that the online appeals service is available 24 hours per day until February 15, 2005. There are four hyperlinks on this page: Property Owner's Bill of Rights Brochure, Assessment Appeals Process brochure, Area Sales Analysis brochure, and Search the Real Property Database. Do download and save the three brochures, and access the Real Property Database for your property. The next section deals with Property Identification, plus a helpful page labeled "click" for finding the Notice and Control number on your assessment invoice. Note that you have until February 14, 2005 to request an appeal hearing by mail, e-mail, or by using the online appeal form. Make sure you are receiving the Homestead Credit applicable to the county and subdivision in which your property is your principal residence (see Tax Credit and Exemption Information at the Tax Help Programs hyperlink on the Real Property page). If you require additional help or information, call (410) 767-1199 or toll free (800) 944-7403. Dear Ask George: Is it standard practice for a Realtor to up their fee to 8 percent? Is this legal? – Skeptical Dear Skeptical: A broker can charge you whatever he wants provided he or she has not already entered into a contractual agreement with you for a different fee. My guess is that the broker sees a more difficult sale ahead, and is planning for it. A Realtor is a real estate licensee and is licensed by the state in which he or she practices as a real estate licensee, to sell, lease, or otherwise provide certain professional services, in exchange for money or other thing of value, for or on behalf of another person or other entity. As a practical matter, however, the cost-to-benefit of the services each Realtor delivers to a consumer as well as the timeliness of the Realtor's communications with the consumer is (or should be) taken into account by the consumer. If the consumer decides the price being charged is excessively high in relation to the cost-to-benefit of the services the Realtor is delivering, the consumer will choose a different Realtor. That is why most responsible experts advise you to interview at least three Realtors before you enter into an agreement whether buying or selling. Ask lots of questions. Ask for his or her level of training as well as any designations he or she may hold. Ask for references and contact information from other folks they have represented for similar services. Dear Ask George: My husband and I just purchased a home in Ft, Davis, Texas. The seller was represented by a Realtor but we were not. We had an inspection and the seller paid for the repairs that were needed at closing. However, when we were at the house this past weekend we removed some paneling from a log wall and discovered that there had obviously been a chimney fire. The fire not only burned a hole through the wall, but has now allowed water damage to the wall to the extent that an 8' by 10' section is so charred and rotten you can pull chunks of wood out with your hands! The outside chimney and the paneling placed over the wall camouflaged the damage, so neither we nor the inspector we hired could see any problems. The seller's Realtor says that when she informed the seller of the problem, he offered to "share" in the expense of repairing the wall. Is this legal? We thought we were purchasing a sound structure, and that all defects had been repaired. – Very Distressed Dear Very Distressed: Nearly any solution regarding how the fire-damaged wall that you and the seller agree to and put in writing is "legal" provided you have informed consent. However, the main issue here is: Was the seller aware of the previous fire damage or not? If he was, did he make the required disclosures as to its existence? It sounds to me like he might have been aware and did not disclose, otherwise why would his Realtor come back with his offer to split the repair expenses? If your seller knew about the previous fire damage and did not disclose, you probably have a cause of action against him provided he is solvent. Otherwise, fixing the damage is probably money better spent than spending it on an attorney. Check with the fire department in your area and see if it responded to a call at your address for a fire that would do this kind of damage. That might shed some light on who owned the property at the time of the fire. If the seller really was not aware of the previous fire, then the person from whom he bought the home or the owner before that was, and your seller's offer to split the repair costs is a generous offer. | 
