Dysart property redeemed

[farrouk]

Wow, the picture you paint is so bleak I feel like taking my own life!!!!!

[gimmellsmom]

I can't comment on Niagara, but the Dysart property along with a mess of a cottage, also had soil drainage issues (why the contractor thought the cottage shifted) and required a driveway... I was quoted 12-15k for the driveway as it's on solid rock that has to be blasted!  There may have been room for a septic, but you'd probably have been better off with compsoting toilets and finding a method to deal with the rest of the gray water given the soil problems.

In a nutshell, IF we got it it was going to take a nice chunk of change to bring it up to useable / sellable condition. 

Given the changes coming to cottage country property taxes in the very near future, you'll probably see this one back in four years - if they can't pay now how will they pay when its double.  It was a really nice piece of land though.  There was a lot of interest from neighbours (it pays to be sweet to contractors...) who thought they'd get it for around the tax bill price.  With the financial investment needed to make it liveable we figured we'd bid around low-20's.  To make a profit on it you couldn't go too much higher I'd think - the lot was only 1/3 acrea with a lot of work/$$ needed on a piece you might sell for 100k.

But it was nice.  (Yes, I'm a bit bitter!) 

[Dave2]

Interesting enough that about the price range (low to mid 20'S I was prepared to consider.  My big concern was sceptic approvals. 

[Frank]

Totally off topic guys, but you all make good points. 

Look at the bottom line, not the mill rate.

Municipalities can and most do charge as much as 15% per year on arrears. 

Staff costs, as well as advertising, legal, etc.. in conducting tax sales are all added to the redemption price and so the general tax payer isn't paying for the tax sale process.

The older Municipalities in Ontario, like Hamilton, Niagara (old industry due to proximity to first hydro), Ottawa, Windsor....all suffered heavily when the Harris Government downloaded social services and a slew of other costs to them back in '98.  Toronto was assisted by having the rest of the GTA chip in to pool their costs.  Prior to '98 those costs were pooled province-wide, the Crombie commision warned the Province not to do it, but they went ahead anyways and covered it all over by forcing amalgamations to try to effect costs savings in other ways, and really roil the waters.  Amalgamations in Niagara, and Muskoka were in the works, when they realized that it was all back-firing and they ran for their political lives.

OK, so I've been away for a few days, and now I've had my rant.  Thanks for listening.

[les]

it,s on the mls for $136,000

[Dave2]

Same thing happened here locally last fall.  Get a really good tax sale opportunity to bid for an opportunity to buy a piece of my own private island and at the last minute a real estate agent persuades owner to redeem and list it.  I even had the cheque cut.

Maybe we have to go looking farther a field. 

Anybody know if there are upcoming tax sales in James Bay or Lake Nipigon.

Dave2. 

[hhs]

The property in Caledon has been redeemed. This is the second one I cannot bid on. WHen is my turn, then?
HHS

[Pfm1011]

Get used to it, a vast majority of the properties are redeemed by the owners, You have to realize that very few people will let 200k go for 20 k debt unless they are dead, bankrupt corporation or have lost major lawsuits and have no point in saving as it is already technically gone

[Frank]

Get used to it, a vast majority of the properties are redeemed by the owners, You have to realize that very few people will let 200k go for 20 k debt unless they are dead, bankrupt corporation or have lost major lawsuits and have no point in saving as it is already technically gone

Excellent points.  Of the three that I have purchased:  One was deceased;  the second was a defunct corporation; and, the third had no value to the owner at the time.    Fits the bill to a ' T ' ...I'd say.