L.A. Loft Blog

When considering placing an offer on a Downtown loft, how does one determine exactly how much to offer? Real estate professionals know that there is one primary method used to determine property values and market conditions. Here’s the easy way to know the actual market value. #sold

That method is by analyzing the prices of recently sold comparable properties. The average home buyer and seller makes the mistake of only looking at asking prices on property listings, but this is not accurate for determining real market value because only about one out of three homes sells for the asking price. That number is changing right now, as the market is softening. Based on the the market shift and changes (dramatic drop in the number of recent home buyers) that the L.A. Loft Blog has recently reported, more than half of the homes listed may be selling for less than the asking price in the coming months. HINT: For those who are able, it’s time to start “stealing houses,” that is: placing lowball offers on several homes to find motivated or even desperate sellers and the extra equity to be gained by buying low. | SOLD

How to Make Money with SOLD LISTINGS

By looking at a list of similar homes nearby that have sold within the last six months, home buyers and sellers can get a more realistic picture of the actual market values, what home prices should be. Renters and landlords often use the same method — looking at recently leased comparable properties nearby.

It can be challenging to find sold prices listed anywhere because the sold prices does not show up in many places. Most home search websites do not have sold prices, or the sold prices are hidden away somewhere and difficult to find.

Fortunately, there are some easy ways to find the actual prices of sold homes so that home buyers and sellers can know how much to offer or how much to demand for a home in the current market. Request a list of comps (recently sold comparable homes) from the L.A. Loft Blog. Use this simple formula to determine price per square foot (or call the L.A. Loft Blog and we will calculate it for you 213-880-9910): Sold Price divided by Square Feet. Do this for several of the closest, most similar homes. Determine the average by adding the total of prices divided by the total of the square feet and then divide that by the number of properties. Calculate that amount times the square feet of the desired home to get the offer amount. >> MORE

Get a list of recently sold homes and prices, along with a list of properties currently active for sale on the market. Fill out the online form:

<a href="https://laloft.wufoo.com/forms/qbg942419l39cs/" target="_blank" rel="noopener noreferrer">Fill out my Wufoo form!</a>

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

Copyright © This free information provided courtesy L.A. Loft Blog and LAcondoInfo.com with information provided by Corey Chambers, Realty Source Inc, BRE#01889449 We are not associated with the homeowner’s association or developer. For more information, contact (213) 880-9910 or visit LAcondoInfo.com Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.

Nothing is certain except death and taxes. So it’s no wonder that these amazing lofts with property tax benefits consistently top the charts for LA Loft Blog readers. #millsact

https://www.themls.com/Share/YWFhYmppZGZk

While some have never have heard of the Mills Act, it offers some financial advantages for LA loft owners. It can save a bundle of money on taxes while giving an amazing urban abode with truly gratifying character. #millsact #la | SOLD

MillsActLA.com – Benefits of a Mills Act Loft

To aid in preserving the historic structures of L.A., a significant tax incentive has been brought into existence by California state and local governments called the Mills Act. The unique legislation is in effect offering home owners of qualifying historic properties as much as 66% or more cut from their property tax bills. Owners of lofts in a historic building can potentially save thousands of dollars each year. That money can be used to help furnish the loft home, put more money down at purchase to reduce monthly mortgage payments, trade up to a larger loft or even spent on anything. But, buyers should also be prepared by saving some of the money for potential special assessments in the future should building need major restoration. The Higgins Building loft owners endured a special assessment in 2017 of around $15,000 to $45,000 per unit for repairs to its crumbling old facade.

Sometimes listing agents (especially out-of-area agents) make mistakes and incorrectly report that a specific loft building is Mills Act approved. For example, the SB Grand at 312 W 5th St has a current listing that is incorrect. That building is NOT Mills Act approved unfortunately.

The Mills Act offers a substantial reduction in property taxes for owners of qualified historical properties provided that they agree to preserve, restore, rehabilitate, and maintain the historical and architectural character of their properties. Many owners report that they save about 2/3 off of their property taxes. The formula is complex, and may vary, so prospective Mills Act home buyers should check with the city, county and a tax professional to determine what the real savings may be. | MILLS ACT LOFTS FOR SALE | MILLS ACT RECENTLY SOLD

Mills Act participants may realize very fruitful property tax savings each year for recently improved or purchased old properties because the valuation of a Mills Act property is determined by the Income Approach to Value rather and not by the common Market approach to calculating appraised value. The Income Approach, divided by a capitalization rate, gives the assessed value of the property. Generally, the income potential for an owner-occupied residential property is calculated by looking at rental rates for comparable nearby properties, while the income from a commercial property is based on actual rent received. Because rental values vary greatly, the actual Mills Act historic property tax savings may vary.

Mills Act LA Property Tax Los Angeles

MILLS ACT PROPERTIES FOR SALE | DOWNTOWN LOFTS FOR SALE

MillsActLA.com — Want to save a bundle on your property taxes while helping to maintain the authentic integrity of an historic California building? The Mills Act is a California law allowing cities to enter into contracts with the owners of historic buildings. The City of Los Angeles has such contracts, as do many other cities in Southern California.

Mills Act Historical Property Contract Program

How does it work? A written agreement, generally known as a Mills Act or Historical Property Contract, is executed between the City of Los Angeles and property owners for a revolving ten-year term. The developer or HOA homeowners association takes care of the details. Contracts may automatically renew each year so that the term of the contract normally extends for 10 years. Builders and homeowners agree to restore, maintain and protect the property in accordance with specific historic preservation standards and conditions identified in the agreement. Periodic inspections by LA City and County officials ensure proper maintenance of the property. The City may impose penalties for breach of contract or failure to protect the historic property. The contract is transferred to new owners if the property is sold, and is binding to all successive owners. MILLS ACT DETAILS >> MORE

The list of Downtown L.A. Mills Act properties changes. Here are some recent examples:

108 W 2ND ST — Higgins Building
1850 INDUSTRIAL ST — Biscuit Company
215 W 7TH ST — Bartlett Building
257 S SPRING ST — Douglas Building
315 E 8TH ST — Textile Building
416 S SPRING ST — El Dorado Building
420 S SAN PEDRO ST — Little Tokyo Lofts
460 S SPRING ST — Rowan Building
738 S LOS ANGELES ST — Eckardt Building
746 S LOS ANGELES ST — Cornell Building
849 S BROADWAY — Eastern Columbia
>> MORE

MILLS ACT PROPERTIES FOR SALE | DOWNTOWN LOFTS FOR SALE

More info on Mills Act Properties is available at https://www.laloftblog.com/?s=mills+act

Get Mills Act updated list of buildings and properties for sale. To receive this free info, fill out the online form:

LOFT & CONDO LISTINGS DOWNTOWN LA [MAP]

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