Home › Forums › Closed Forums › Buying and Selling RE › What’s the Big Deal with a Scrape?
- This topic has 35 replies, 5 voices, and was last updated 13 years, 8 months ago by
UCGal.
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January 5, 2011 at 12:07 PM #18353January 5, 2011 at 12:15 PM #648152
(former)FormerSanDiegan
ParticipantA scrape is considered new construction, as opposed to a remodel. New construciton brings with it additional fees and costs.
Also, important is the tax basis, depending on how long you’ve owned the property. If you remodel or add on to an existing property you essentially keep the Tax basis for the property, with an adjustment for the added remodel.
For example, we put over 1000 square feet onto an existing 8000 sf house in the early 2000’s. We also impacted nearly all of the existing 800 sf. Our original tax basis was under 300K. When the remodel was complete the county tacked on the remodel upgrades as only another 115 K in value.
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.
January 5, 2011 at 12:15 PM #648809(former)FormerSanDiegan
ParticipantA scrape is considered new construction, as opposed to a remodel. New construciton brings with it additional fees and costs.
Also, important is the tax basis, depending on how long you’ve owned the property. If you remodel or add on to an existing property you essentially keep the Tax basis for the property, with an adjustment for the added remodel.
For example, we put over 1000 square feet onto an existing 8000 sf house in the early 2000’s. We also impacted nearly all of the existing 800 sf. Our original tax basis was under 300K. When the remodel was complete the county tacked on the remodel upgrades as only another 115 K in value.
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.
January 5, 2011 at 12:15 PM #648946(former)FormerSanDiegan
ParticipantA scrape is considered new construction, as opposed to a remodel. New construciton brings with it additional fees and costs.
Also, important is the tax basis, depending on how long you’ve owned the property. If you remodel or add on to an existing property you essentially keep the Tax basis for the property, with an adjustment for the added remodel.
For example, we put over 1000 square feet onto an existing 8000 sf house in the early 2000’s. We also impacted nearly all of the existing 800 sf. Our original tax basis was under 300K. When the remodel was complete the county tacked on the remodel upgrades as only another 115 K in value.
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.
January 5, 2011 at 12:15 PM #649270(former)FormerSanDiegan
ParticipantA scrape is considered new construction, as opposed to a remodel. New construciton brings with it additional fees and costs.
Also, important is the tax basis, depending on how long you’ve owned the property. If you remodel or add on to an existing property you essentially keep the Tax basis for the property, with an adjustment for the added remodel.
For example, we put over 1000 square feet onto an existing 8000 sf house in the early 2000’s. We also impacted nearly all of the existing 800 sf. Our original tax basis was under 300K. When the remodel was complete the county tacked on the remodel upgrades as only another 115 K in value.
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.
January 5, 2011 at 12:15 PM #648223(former)FormerSanDiegan
ParticipantA scrape is considered new construction, as opposed to a remodel. New construciton brings with it additional fees and costs.
Also, important is the tax basis, depending on how long you’ve owned the property. If you remodel or add on to an existing property you essentially keep the Tax basis for the property, with an adjustment for the added remodel.
For example, we put over 1000 square feet onto an existing 8000 sf house in the early 2000’s. We also impacted nearly all of the existing 800 sf. Our original tax basis was under 300K. When the remodel was complete the county tacked on the remodel upgrades as only another 115 K in value.
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.
January 5, 2011 at 12:50 PM #648228briansd1
Guest[quote=FormerSanDiegan]
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.[/quote]
Except for the land which retains the old Prop 13 basis. The land maybe worth a lot more than the structure.
January 5, 2011 at 12:50 PM #649275briansd1
Guest[quote=FormerSanDiegan]
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.[/quote]
Except for the land which retains the old Prop 13 basis. The land maybe worth a lot more than the structure.
January 5, 2011 at 12:50 PM #648951briansd1
Guest[quote=FormerSanDiegan]
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.[/quote]
Except for the land which retains the old Prop 13 basis. The land maybe worth a lot more than the structure.
January 5, 2011 at 12:50 PM #648157briansd1
Guest[quote=FormerSanDiegan]
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.[/quote]
Except for the land which retains the old Prop 13 basis. The land maybe worth a lot more than the structure.
January 5, 2011 at 12:50 PM #648814briansd1
Guest[quote=FormerSanDiegan]
With new construction, the county will determine the value for the entire property and the clock starts anew for Prop 13.[/quote]
Except for the land which retains the old Prop 13 basis. The land maybe worth a lot more than the structure.
January 5, 2011 at 12:53 PM #649280NotCranky
ParticipantHere are a few post I am pasting, somewhat edited, from a forum topic elsewhere. It was easier then making my own response and besides the tax question, cover most the other pertinent issues.Not perfect commentary for the thread but it does guide thinking on the topic.
One of the cost of removing is also re stabilizing the lot with compaction w/or without environmental issues inserted by some agency(whether you think it is important or not.
A well-qualified designer/builder can answer all your questions, help to determine what is most cost effective, and will be cheaper than an architect(sorry ucgal).
Keep in mind a few things:
1) Up to a point, money spent on design is well worth it. A few grand on design can save many thousands in mistakes and poor planning.
2) It is almost impossible to get an accurate estimated budget for a job until it is designed. Per-square foot numbers and ballpark guesses are not accurate, and a significant portion of the budget will be determined by choices made during the design process. Give the designer a figure to work with and let that help shape the design.
Rebuild vs. remodel is a question of cost and whether the existing house has features that you want to preserve or whether it is mainly the lot you want.
I would not count on recycling the lumber in the house. Unless there is something worth saving, like old beams and timbers or beautiful old floors, it is not usually cost effective to re-cycle, and very difficult to predict how much will be salvageable.
Another consideration is preserving any right s you may have with an existing structure…
A lot of houses exist on lots that would be unbuildable today because of Zoning, Wetlands, Septic System design, Coastal Feature setback, you name it, someone is regulating it….
If you come under any of these restrictions, you need some good advice.. there is usually a trigger formula that invokes new regulations.. like if you add 50% to the footprint , you have to bring everything up to code….or if you add a room with 100 sf and a closet, you have to have the septic system re-engineered and rebuilt….or if you tear it down and you’re within the setbacks, you may need a variance to rebuild it …unless of course , they won’t let you rebuild it..
January 5, 2011 at 12:53 PM #648233NotCranky
ParticipantHere are a few post I am pasting, somewhat edited, from a forum topic elsewhere. It was easier then making my own response and besides the tax question, cover most the other pertinent issues.Not perfect commentary for the thread but it does guide thinking on the topic.
One of the cost of removing is also re stabilizing the lot with compaction w/or without environmental issues inserted by some agency(whether you think it is important or not.
A well-qualified designer/builder can answer all your questions, help to determine what is most cost effective, and will be cheaper than an architect(sorry ucgal).
Keep in mind a few things:
1) Up to a point, money spent on design is well worth it. A few grand on design can save many thousands in mistakes and poor planning.
2) It is almost impossible to get an accurate estimated budget for a job until it is designed. Per-square foot numbers and ballpark guesses are not accurate, and a significant portion of the budget will be determined by choices made during the design process. Give the designer a figure to work with and let that help shape the design.
Rebuild vs. remodel is a question of cost and whether the existing house has features that you want to preserve or whether it is mainly the lot you want.
I would not count on recycling the lumber in the house. Unless there is something worth saving, like old beams and timbers or beautiful old floors, it is not usually cost effective to re-cycle, and very difficult to predict how much will be salvageable.
Another consideration is preserving any right s you may have with an existing structure…
A lot of houses exist on lots that would be unbuildable today because of Zoning, Wetlands, Septic System design, Coastal Feature setback, you name it, someone is regulating it….
If you come under any of these restrictions, you need some good advice.. there is usually a trigger formula that invokes new regulations.. like if you add 50% to the footprint , you have to bring everything up to code….or if you add a room with 100 sf and a closet, you have to have the septic system re-engineered and rebuilt….or if you tear it down and you’re within the setbacks, you may need a variance to rebuild it …unless of course , they won’t let you rebuild it..
January 5, 2011 at 12:53 PM #648956NotCranky
ParticipantHere are a few post I am pasting, somewhat edited, from a forum topic elsewhere. It was easier then making my own response and besides the tax question, cover most the other pertinent issues.Not perfect commentary for the thread but it does guide thinking on the topic.
One of the cost of removing is also re stabilizing the lot with compaction w/or without environmental issues inserted by some agency(whether you think it is important or not.
A well-qualified designer/builder can answer all your questions, help to determine what is most cost effective, and will be cheaper than an architect(sorry ucgal).
Keep in mind a few things:
1) Up to a point, money spent on design is well worth it. A few grand on design can save many thousands in mistakes and poor planning.
2) It is almost impossible to get an accurate estimated budget for a job until it is designed. Per-square foot numbers and ballpark guesses are not accurate, and a significant portion of the budget will be determined by choices made during the design process. Give the designer a figure to work with and let that help shape the design.
Rebuild vs. remodel is a question of cost and whether the existing house has features that you want to preserve or whether it is mainly the lot you want.
I would not count on recycling the lumber in the house. Unless there is something worth saving, like old beams and timbers or beautiful old floors, it is not usually cost effective to re-cycle, and very difficult to predict how much will be salvageable.
Another consideration is preserving any right s you may have with an existing structure…
A lot of houses exist on lots that would be unbuildable today because of Zoning, Wetlands, Septic System design, Coastal Feature setback, you name it, someone is regulating it….
If you come under any of these restrictions, you need some good advice.. there is usually a trigger formula that invokes new regulations.. like if you add 50% to the footprint , you have to bring everything up to code….or if you add a room with 100 sf and a closet, you have to have the septic system re-engineered and rebuilt….or if you tear it down and you’re within the setbacks, you may need a variance to rebuild it …unless of course , they won’t let you rebuild it..
January 5, 2011 at 12:53 PM #648162NotCranky
ParticipantHere are a few post I am pasting, somewhat edited, from a forum topic elsewhere. It was easier then making my own response and besides the tax question, cover most the other pertinent issues.Not perfect commentary for the thread but it does guide thinking on the topic.
One of the cost of removing is also re stabilizing the lot with compaction w/or without environmental issues inserted by some agency(whether you think it is important or not.
A well-qualified designer/builder can answer all your questions, help to determine what is most cost effective, and will be cheaper than an architect(sorry ucgal).
Keep in mind a few things:
1) Up to a point, money spent on design is well worth it. A few grand on design can save many thousands in mistakes and poor planning.
2) It is almost impossible to get an accurate estimated budget for a job until it is designed. Per-square foot numbers and ballpark guesses are not accurate, and a significant portion of the budget will be determined by choices made during the design process. Give the designer a figure to work with and let that help shape the design.
Rebuild vs. remodel is a question of cost and whether the existing house has features that you want to preserve or whether it is mainly the lot you want.
I would not count on recycling the lumber in the house. Unless there is something worth saving, like old beams and timbers or beautiful old floors, it is not usually cost effective to re-cycle, and very difficult to predict how much will be salvageable.
Another consideration is preserving any right s you may have with an existing structure…
A lot of houses exist on lots that would be unbuildable today because of Zoning, Wetlands, Septic System design, Coastal Feature setback, you name it, someone is regulating it….
If you come under any of these restrictions, you need some good advice.. there is usually a trigger formula that invokes new regulations.. like if you add 50% to the footprint , you have to bring everything up to code….or if you add a room with 100 sf and a closet, you have to have the septic system re-engineered and rebuilt….or if you tear it down and you’re within the setbacks, you may need a variance to rebuild it …unless of course , they won’t let you rebuild it..
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