taxes after building a cabin?

[KMH]

Hi All,
I'm new to the forum and will be taking the jan class in 09. I don't know if this is covered in the class, but can someone give me an idea of how much taxes increase after building your cabins? I plan to build in Maine and some of the land I've been looking at has taxes at $80.00 per year which seems great, but what happens when I build my cabin? I know that it probably depends on the area I live in,etc. But what if I buy 5 acres of land that has a low tax rate, will it then skyrocket to $5000 or maybe $10000 a year after a 2 or 3 bedroom cabin is put in? And does the amount of acreage affect how much more I'll have to pay after the cabin is done?

Sorry to be so clueless, but I've never even owned a home before so I just want to make sure I don't do something I'll regret. No matter what I won't buy land before the class, but I figure so many of you are so helpful that you might be able to give me some ideas.

Thanks a lot...
--Ron

[StressMan79]

The class goes over many things you can do that are temporary and easily modified once the man is no longer looking. Our cabins are typically lofted, so you can take advantage of the gable space. Probably the easiest way to lower the value (and therefore taxes) is to just not put in the loft until the assessment is done. You may see an assessed home value of 150k on the property with taxes of 80/yr. In Washington, property taxes are capped at 1% of assessed value. Therefore, your taxes COULD increase to 1500+80. If you follow the LHBA's preferred practices, you can likely build the same home and have it assessed for less than half. Then you'd save 750/yr. Every year. Makes the LIFETIME membership seem cheap, huh?

-Peter

[hemlock77]

Ron;

Here is a link that might be helpful in determining property tax. http://www.memun.org/Public/local_govt/property_tax.htm It appears that in main the tax is (mill rate x fair market value). Here in Ct it is (Mill rate X 70% 0f fair market value). Each state has different guidelines.
Stu
http://s165.photobucket.com/albums/u64/hemlock77/

[KMH]

Thanks fellas,
Very helpful information. So much to learn! I've been heavily looking into building my own solar modules/panels( an offgrid system) and will be taking a hands on class in Feb. Even tho there are tax rebates available in Maine(only if certified installer), I wonder if a tax assessor will consider that valuable and jack up the value of a house. I have no problem paying taxes, but if I can power my own system, then I'd hate to get "punished" for being self-sufficient.

[Kola]

rmacedon,

No matter where you build in the US, the people who build LHBA B&P loghomes are almost always taxed the least.

Are you already singed up for the LHBA class in Jan?
What type of logbuilding class are you taking in Feb?


Kola

[KMH]

Hi Kola,
Yes, I'm signed up for the jan 2009 class on 24/25. The class I'm taking in Maine in Feb is not a log building class, it's a class that teaches people to build their own solar power modules and panels. It's a non-profit devoted to solar conservation and saving money by doing it themselves. Building your own solar power panels will save thousands of dollars. I am going to bring my digitial camera and take photos of the process and will publish them when finished to help others do it if they are interested. I hope I'm not taking on too much, but I figure if I'm going to build a log home by myself, then why not go all the way and build my own electricity. P.S. Snow storm on East Coast now...14 inches is the estimate. Sitting in my dinky apt in Cambirdge,MA watching the blizzard now...I heard WA got it bad earlier this week.

Here are the links.
The class(multiple organizations involved..non-profit)
http://www.dadsolar.com/home
A good site from Maine(non-profit)
http://ellsworthme.org/MESEA/
(considering taking a class in installing/wiring a complete off the grid system by these folks)
http://learn.altenergystore.com/

[Kola]

Great links.... they even discuss building a solar greenhouse.

I have read about making your own solar panels. It is really a big money saver? and can you get quality parts to build them? Good controllers are very expensive too. I wonder if a person could build one of those as well.

Kola

[rreidnauer]

You can build your own with salvaged materials (like large sheet glass) and loose damaged silicon cells, for considerably less money than retail, but it takes some care to seal the cells behind the glass. They won't be as efficient, and probably wont last as long, but who cares if you got it done on the cheap.

Now the good news Kola. You do not need a controller. With care, you can hook on direct, and disconnect when the batteries are full. (YOU are the controller) Again, not as efficient, but a very affordable alternative. From there, the best and most affordable choice, is to utilize DC lighting, electronics, and appliances, and skip the inverter.

[Kola]

thanks guys!

yeah for starters, I would like to build a small panel and wire it for DC only..basically for lighting and running my DC water pump that I scarfed out of my truckcamper. A panel, battery, pump, wires and lights. I think some cheap type of breaker would be good so I do not blow the battery up.

I think the very top of the tipi poles would be a great place to put the panel. NAI's are gonna give me hell. LOL!

Kola

[greenthumb]

Some members have recommended a few books on lowering property tax assessments, this thread discusses one:

http://loghomebuilders.org/book-everyone-read-building

Another one is discussed in the members forum, I haven't read it yet.

A lot of county tax assessors offices have websites that display the current taxes for all the properties in the county. Many also have handy tax estimator calculators so you can determine how much the house will add to the total tax bill, you'll just have to guess for now on what the house will be worth. AFTER you take the class and learn the tricks, and decide exactly what you want from a house and how big it is and the cost to build, then you can talk to the county assessors and get a ballpark on what they think it will be worth. Don't always accept the initial assessment(which will come during or after the build), you have the right to appeal!

Best of luck to you, and hope to see you in the members area soon!

[81eagle]

This is one topic that really gets under my skin! Why must you pay yearly for something you already own? Simple fact "YOU DON'T OWN YOUR PROPERTY....... EVER!" If you stop paying the taxes you will see who really owns it. That is why living completely off grid is virtually impossible. You will ALWAYS owe the state the tax, therefore you will ALWAYS have debt. Not A Fan!!!

[t.shank2]

Right on 81eagle!

I hope no one gets angry, but I plan on giving all of us a bad name by becoming a prepare-for-the-end-of-days, take-my-guns-from-my-cold-dead-body type of survivalist. I'll have military surplus gas-masks and keep unregistered guns in a safe. Currently deciding if a fallout bunker is worth the cost.

On a different note, I find it interesting how log cabins can unite people of all political stripes. You have the government-hating conservatives who want to be self-sufficient and you have the nature loving liberals who want to escape the evils of industrialization. God Bless America!

Shank

PS-There's a reason why it took a Constitutional Amendment to establish the income tax. The founding fathers didn't want one!!! US Constitution=limited government=less tax. Thomas Jefferson and Alexander Hamilton would have put aside their hatred for each other and united against all these intrusive taxes.