Maxman Posted November 11, 2010 Share Posted November 11, 2010 It all depends where you buy in the Poconos, what it is near and the type of structure that you place on the land. Some are very appreciable. Yes, there are some nice communities up there that have appreciated. Mine was more of a general statement, when the market is doing well OVERALL the Poconos did not keep pace with the rate we saw in NJ and NY. My wife's family had a house there for 20 years, it did appreciate over time. I think you buy there more for fun and to have a get away as opposed to an investment. Much like buying a new car... Link to comment Share on other sites More sharing options...
Maxman Posted November 11, 2010 Share Posted November 11, 2010 You seem knowledgeable in Pocono real estate. A chalet in a lake community good or bad investment. Which community? There isn't a lot of buildable land left in Hemlock Farms. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 Which community? There isn't a lot of buildable land left in Hemlock Farms. Communities around Lake Wallenpaupack. There are some really good deals right now on a 4 season get a way. Im considering taking a plunge. Im just unsure with my job and my current injury as to what the future holds. Link to comment Share on other sites More sharing options...
Maxman Posted November 11, 2010 Share Posted November 11, 2010 Communities around Lake Wallenpaupack. There are some really good deals right now on a 4 season get a way. Im considering taking a plunge. Im just unsure with my job and my current injury as to what the future holds. We have a friend that has lake views, they are high up and it is a short walk to the lake, basically the next row of houses. I really don't know enough about real estate in that area but I will say that Lake is very nice. I think those houses will definitely appreciate, they are easy to get to and that lake is huge. Throw up some links to houses there if you can. I would definitely be interested in seeing what stuff is going for there right now. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 We have a friend that has lake views, they are high up and it is a short walk to the lake, basically the next row of houses. I really don't know enough about real estate in that area but I will say that Lake is very nice. I think those houses will definitely appreciate, they are easy to get to and that lake is huge. Throw up some links to houses there if you can. I would definitely be interested in seeing what stuff is going for there right now. Again im not looking for a primary residence,just a weekend get-a-way place. Heres a link in a community ive been considering. Its called The Hideout. http://www.flexmls.com/cgi-bin/mainmenu.cgi?cmd=url+other/createlink/link_receiver.html&no_html_header=true&i=rgszrfmurum,5 Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 This is true but theres some really nice homes under $80K that can be financed for 20 years for under $400 a month. And you own a weekend get-a-way and another tax write off. How is it another tax write off? You can only write the tax off on the interest you pay for your primary residence. That's why they call it homestead exemption. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 How is it another tax write off? You can only write the tax off on the interest you pay for your primary residence. That's why they call it homestead exemption. If you rent the place out for a specific number of weeks I think there are some tax credits I may be wrong. I also think that if you decide to fix up your primary residence you can claim the repairs under the rental property. Again im not 100% sure and would have to check with my financial consultant. I vaguely remember a family member doing this on shore property. Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 If you rent the place out for a specific number of weeks I think there are some tax credits I may be wrong. I also think that if you decide to fix up your primary residence you can claim the repairs under the rental property. Again im not 100% sure and would have to check with my financial consultant. I vaguely remember a family member doing this on shore property. There maybe some tax breaks for repairs in certain situations, but you can only have 1 homestead exemption. In other words, you can not write off the interest you pay on rental properties, vacation and/or second homes. That's how it was when I was writing mortgages for a living anyway. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 There maybe some tax breaks for repairs in certain situations, but you can only have 1 homestead exemption. In other words, you can not write off the interest you pay on rental properties, vacation and/or second homes. That's how it was when I was writing mortgages for a living anyway. If I decided to take a home equity loan on my primary residence wouldnt the payments be tax deductable? Again im no expert and would consult my financial guy before doing anything. Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 If I decided to take a home equity loan on my primary residence wouldnt the payments be tax deductable? Again im no expert and would consult my financial guy before doing anything. The payments are never tax deductible, the interest you pay is. If you took a home equity loan out on your primary residence, then yes the interest you pay on that loan would be deductible. However if you are using that money to buy a vacation or rental property free and clear, then you are risking your primary residence. I would not consider it wise, to use your primary residence as collateral for an investment or second home, just to get the tax break. Especially since it might not belong before homestead exemptions no longer exist. Why put your primary residence at risk, for a 2nd property? With the way the rates are today, at the price of the homes you are talking about here, I would much rather have the lien on the 2nd property, not the primary. Maybe that's just me though. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 The payments are never tax deductible, the interest you pay is. If you took a home equity loan out on your primary residence, then yes the interest you pay on that loan would be deductible. However if you are using that money to buy a vacation or rental property free and clear, then you are risking your primary residence. I would not consider it wise, to use your primary residence as collateral for an investment or second home, just to get the tax break. Especially since it might not belong before homestead exemptions no longer exist. Why put your primary residence at risk, for a 2nd property? With the way the rates are today, at the price of the homes you are talking about here, I would much rather have the lien on the 2nd property, not the primary. Maybe that's just me though. I have no intentions of using my primary residence as collateral. I would just as easy take out a new mortgage for say 15-20 years at rates nearly 4% and go that route. Once im done paying for my primary residence im done no liens or loans wanted. The deals that are out there are making things enticing. Homes at the Jersey shore are also cheap only problem most I look at are on land leases and I want no part of that. Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 I have no intentions of using my primary residence as collateral. I would just as easy take out a new mortgage for say 15-20 years at rates nearly 4% and go that route. Once im done paying for my primary residence im done no liens or loans wanted. The deals that are out there are making things enticing. Homes at the Jersey shore are also cheap only problem most I look at are on land leases and I want no part of that. OK, well you confused me with your question then. I said all along you could write off the interest you pay on your primary residence, it's the secondary properties that are not homestead exemptions. I don't think I ever did much of anything involving a land lease, but in places like the Jersey shore, they may be a common thing. I don't blame you from staying away from them, but it sounds like that may severely restrict what you can get into over there. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 OK, well you confused me with your question then. I said all along you could write off the interest you pay on your primary residence, it's the secondary properties that are not homestead exemptions. I don't think I ever did much of anything involving a land lease, but in places like the Jersey shore, they may be a common thing. I don't blame you from staying away from them, but it sounds like that may severely restrict what you can get into over there. The problem with most N.J shore homes is the cheaper ones are usually a land lease. You look at the taxes which are relatively cheap and then add the land lease and you run from these deals. In the Poconos taxes are dirt cheap and most association fees in a community are $250 a year. A weekend get-a-way an hour from my house in the mountains,just have to make sure they televise the NYJETS up there. Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 The problem with most N.J shore homes is the cheaper ones are usually a land lease. You look at the taxes which are relatively cheap and then add the land lease and you run from these deals. In the Poconos taxes are dirt cheap and most association fees in a community are $250 a year. A weekend get-a-way an hour from my house in the mountains,just have to make sure they televise the NYJETS up there. Yeah I hear you, that may be the way to go. You could always try to swap a few weeks with somebody who owns on the shore too. Or just rent out your spot in the Poconos to someone for a vacation, and then hit the shore for yours. Link to comment Share on other sites More sharing options...
Maxman Posted November 11, 2010 Share Posted November 11, 2010 There maybe some tax breaks for repairs in certain situations, but you can only have 1 homestead exemption. In other words, you can not write off the interest you pay on rental properties, vacation and/or second homes. That's how it was when I was writing mortgages for a living anyway. I believe the second home\rental home test is small, like 2 weeks. Meaning if you use that house more than 2 weeks it is a vacation home and you get nada. If it is a rental property that opens you up to Schedule E and a whole world of deductions. Interest, Advertising costs, among other expenses. Schedule E is a good place to be. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 Max check this one out. http://poconos.craigslist.org/reb/2052922364.html This is what im talking about theres many deals out there. If you pay $60k for this place you got a deal and a get-a-way. Link to comment Share on other sites More sharing options...
THE ILK Posted November 11, 2010 Share Posted November 11, 2010 I believe the second home\rental home test is small, like 2 weeks. Meaning if you use that house more than 2 weeks it is a vacation home and you get nada. If it is a rental property that opens you up to Schedule E and a whole world of deductions. Interest, Advertising costs, among other expenses. Schedule E is a good place to be. Agreed, but are you sure the interest you pay on the mortgage is deductible? That's what I thought visa was referring to. Link to comment Share on other sites More sharing options...
visajets Posted November 11, 2010 Share Posted November 11, 2010 Max did you checkout the listing? Link to comment Share on other sites More sharing options...
Scott Dierking Posted November 12, 2010 Share Posted November 12, 2010 You seem knowledgeable in Pocono real estate. A chalet in a lake community good or bad investment. If you are looking for a quick flip-Bad idea. If you are looking for something that you can use to enjoy a little bit, and have it appreciate a fair amount over 20 years-good investment. I bought 8 acres and built a mountain chalet. I don't expect to sell for 20 years. My parents have 162 acres up there. Bought in 1960 for $40,000. Link to comment Share on other sites More sharing options...
Scott Dierking Posted November 12, 2010 Share Posted November 12, 2010 Which community? There isn't a lot of buildable land left in Hemlock Farms. Max, there is land available next to me-We could be neighbors!!!!!!!!! 7 acres bounded by a stream-private entrance. Link to comment Share on other sites More sharing options...
visajets Posted November 12, 2010 Share Posted November 12, 2010 If you are looking for a quick flip-Bad idea. If you are looking for something that you can use to enjoy a little bit, and have it appreciate a fair amount over 20 years-good investment. I bought 8 acres and built a mountain chalet. I don't expect to sell for 20 years. My parents have 162 acres up there. Bought in 1960 for $40,000. Nice is it in a development. How about a pic. Link to comment Share on other sites More sharing options...
Scott Dierking Posted November 12, 2010 Share Posted November 12, 2010 Nice is it in a development. How about a pic. http://www.companywoods.com/ My house is the house in the bottom 2 pictures. NOT the top picture Link to comment Share on other sites More sharing options...
visajets Posted November 12, 2010 Share Posted November 12, 2010 http://www.companywoods.com/ My house is the house in the bottom 2 pictures. NOT the top picture Really nice enjoy. If I didnt have a primary mortgage here in N.J id like to build something like that in the Poconos. What did it cost to build and what did you pay for the lot if you dont mind me asking. Link to comment Share on other sites More sharing options...
Doggin94it Posted November 12, 2010 Share Posted November 12, 2010 Donald Trump isn't debt free. He looks like he is doing alright even with the economic down turn. When you owe the bank 1M, the bank owns you. When you owe the bank 100M, you own the bank Link to comment Share on other sites More sharing options...
Maxman Posted November 12, 2010 Share Posted November 12, 2010 Max, there is land available next to me-We could be neighbors!!!!!!!!! 7 acres bounded by a stream-private entrance. Can I park the JN on it until I build the JN chalet? Link to comment Share on other sites More sharing options...
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