Ontario Tax Sale Property Forum

Sheriff Sales / Foreclosures => General Discussion => Topic started by: suede22 on October 05, 2010, 06:00:50 AM

Title: Muskoka
Post by: suede22 on October 05, 2010, 06:00:50 AM
It's been a while since I last asked a question here.

Has anyone gone to see any of the Muskoka properties? Thoughts... Not sure what the Black Lake property is like but I imagine there is some interest out there.

Used to be there were more discussions and info on the ongoing tax sale properties, I miss that dialogue.

Dale
Title: Re: Muskoka
Post by: Pfm1011 on October 05, 2010, 12:23:05 PM
No discussion means lots of interest..but since you have opened the topic..

Incase anyone missed it , you can download the OTS package for free right from muskoka lakes...or pay OTS 10 bucks..looks like a oops so get them while you can

 http://muskokalakes.fileprosite.com/FileStorage/6F80E788791F46BDB80A99E55BF21A52-Oct%2020-10%20Tender%20package.pdf (http://muskokalakes.fileprosite.com/FileStorage/6F80E788791F46BDB80A99E55BF21A52-Oct%2020-10%20Tender%20package.pdf)

(that should add a pile of lurkers to the bidding , of course on Black lake  they will all bid $100 over minimum, ( a couple real tricky at 1111.11 over the minimum)  so anyone going to the opening can suffer thru the pile of dreamer bids)

I was looking at the hundred acres but its out.

Black lake will have alot of interest  and more then likely it will redeem but if not  some idiot will pay over the odds for it.Tip for the newbies..If you aren't coming in at  5  to 10  times the minimum, don't waste everyones time and your money.
 
Several key points to consider on this site.   The lake is a class 4 lake which is deemed as "at capacity". It is very small and there is cabins at the south end and a church camp at the top , add the cottagers and you can forget about complete privacy. 

Being this small ( less then 100 acres so not much better then a large pond) and not connected, even jet skiing would get boring fairly fast so if you want to enjoy the muskokas expect to have to marina a boat in the main lakes

The lake is bordered by hwy 169 at the bottom so you can expect some road noise but I would not expect stupid amounts

I haven't done alot of digging but you should be able to build but will need site plan and MNR approval due to the  capacity status of the lake.
 
I would think 20 year old septic approval is no longer be valid  ( I presume they expire in 2 years like a building permit) but still is damn handy  and although you have some extra hoops building approvals should not be that hard. ( famous last words)

For a reality check ,  MLS 445306000302000  is a neighbours  piece and they are ASKING repeat ASKING 410 for a similar size lot and a  viceroy . again that ASKING so in the world of muskoka silly asks  I would guess its worth substantially less.  Based on the last purchase price I have it worth 270ish but I am not good on cottage values.  There are several others member who are much more knowledgeable about what that cottage is worth. Again don't confuse asks with actual sales

 
Title: Re: Muskoka
Post by: MikeS on October 05, 2010, 02:25:42 PM
I would have to second the motion Re: the bottom feeders(min bidders)....the dream will be only that. Regardless of lake size, it is still Muskoka and price will reflect

PFM is almost right on with the valuation, 6 lots over went for $285,000 last summer.

Title: Re: Muskoka
Post by: Frank on October 05, 2010, 04:54:01 PM
Muskoka or not, the golden rule of location, location, and location always rules.

The smaller the lake....the more restrictions...the closer the highway...the presence of trailer parks, etc...will impact the bottom line value.  Cost of construction has no relevance.  The same house built in two different locations will fetch a dramatically different dollar.  8)
Title: Re: Muskoka
Post by: worldjohn on October 06, 2010, 12:02:27 AM
whats wrong with the 100 acres? anyone actually see it?
Title: Re: Muskoka
Post by: Pfm1011 on October 06, 2010, 01:01:53 AM
whats wrong with the 100 acres? anyone actually see it?

it redeemed
Title: Re: Muskoka
Post by: Dave2 on October 06, 2010, 06:40:19 AM

it redeemed

Extract Partial Quote from an experienced Pro who is a lurker on this board with whom I have exchanged some Private Messages:

"I will no longer bid on a property unless I have owned and sold something in that area - no exceptions. I now prefer to see a property, search the title, visit engineering and planning, submit the tender, and attend the opening all on the same day. You cannot do that in an unfamiliar area at my age. Each year I get more focused."

Sounds like not bad advice.  As I have said before knowing your territory isn't all bad ;) Only way a youngster like me can compete against the more experienced and smart pro's who hang out here.

Personally I believe the people on this board buy the majority of smart tax sale buys in at least southern Ontario.  Not sure of the north.  More of the Pro's hang out here then people realize.  One of the benefits of posting is you get access to some interesting people and if you share advice you get rewarded in return.  I am also starting to learn the home territories of various bidders.  (not all of what I do is in the public domain).  
Title: : Muskoka
Post by: Pfm1011 on October 21, 2010, 12:32:27 AM
Results Please

Title: Re: : Muskoka
Post by: cityhunter on October 21, 2010, 05:44:57 PM
Results Please



It appears the town will not release results till next week. No idea why... Just gives the owners more time to pay up !
Title: Re: Muskoka
Post by: new_1 on October 21, 2010, 06:08:33 PM
It's sold for 136K (It was me acctually) and the second bid was $81K (about+-) , total 41 bidders.

Just quick question. Any idea why town charging HST on it, it's not new lot. How to avoid it, any idea?

Thanks
Title: Re: Muskoka
Post by: Bidder on October 21, 2010, 08:05:30 PM
Hst is applicable to the sale of all real estate unless spefically exempted.  Vacant land from a corporation - no exemption.
Become a Hst registrant & then you won't have to pay on closing, but will need to self assess.
Try for an Hst ruling that property was owned by an individual & is infact used residential & therefor exempt.
Call Hst hotline for immediate advice.
Title: Re: Muskoka
Post by: cityhunter on October 21, 2010, 08:45:02 PM
Hst is applicable to the sale of all real estate unless spefically exempted.  Vacant land from a corporation - no exemption.
Become a Hst registrant & then you won't have to pay on closing, but will need to self assess.
Try for an Hst ruling that property was owned by an individual & is infact used residential & therefor exempt.
Call Hst hotline for immediate advice.

I dont think there's anyway out of it. I spoke to the goverment last week and they said HST must be paid.

Even if your an HST registrant, you will end of pay(maybe a reduced rate ) at some point.
Title: Re: Muskoka
Post by: worldjohn on October 21, 2010, 09:06:53 PM
see the Thread called "HST" in the questions and answers. 
Just curious, how do you feel about being 55 thousand higher than second place?
this seems like the perfect opportunity to buy the second bid, pay him $5000,lose your deposit and still get it for 25,000 cheaper or is my fast math really off?
Title: Re: Muskoka
Post by: new_1 on October 21, 2010, 10:34:41 PM
Ya? And how I can claim this "Loses" cash against CRA? I would prefer play fair game. Thanks for tips anyway.
Title: Re: Muskoka
Post by: stillsleepy on October 21, 2010, 11:54:39 PM
see the Thread called "HST" in the questions and answers. 
Just curious, how do you feel about being 55 thousand higher than second place?
this seems like the perfect opportunity to buy the second bid, pay him $5000,lose your deposit and still get it for 25,000 cheaper or is my fast math really off?

If I've learned anything from these boards, it's that most second bidders won't sell their bids just to F-you... And rightfully so, since you make a conscious choice to bid so high when you send the tender.

I've wondered though, wouldn't it be logical to send in multiple bids spaced accordingly (I'm sure a little research and experience could generate a good formula) so that if you don't get first, you get second? It'd have to be worth losing the deposit, but obviously this is a prime example where it would be.
Title: Re: Muskoka
Post by: netpred on October 22, 2010, 01:45:41 AM
It's sold for 136K (It was me acctually) and the second bid was $81K (about+-) , total 41 bidders.

Just quick question. Any idea why town charging HST on it, it's not new lot. How to avoid it, any idea?

Thanks


Congratulations!

Title: Re: Muskoka
Post by: Frank on October 22, 2010, 01:49:08 AM
I don't believe that this one would have fetched even $80G on MLS, it's quite obvious that the assessment didn't reflect the condition of the building and no one bothered to appeal, since they weren't paying their taxes anyways.  Good luck with that...prove me wrong, please.

If you were buying from the previous owner, they would swear that they used it for residential purposes and there would be no HST.  Since there is a deemed disposition to the Municipality in a forfeiture sale, then you are buying it from the corporation and they obviously don't live there.  You may be successful in an appeal to the CRA when you argue that the municipality only owned it for a fraction of a second and therefore could not possibly have put it to commercial use - don't know if you can prove what the old owner used it for, and please let us know how that goes as well.  8)
Title: Re: Muskoka
Post by: new_1 on October 22, 2010, 02:20:08 AM
Thanks All. I will keep you posted.
Title: Re: Muskoka
Post by: baller50 on October 22, 2010, 04:15:39 PM
Anyone know results from the other properties ?
Title: Re: Muskoka
Post by: landbaronofthenorth on October 25, 2010, 02:40:17 PM
http://www.muskokalakes.ca/files/%7BDCED169D-46F9-428B-9232-167252C4C765%7DOct%2020-10FinalDraftForm6Ad.pdf
Title: Re: Muskoka
Post by: baller50 on October 25, 2010, 03:00:56 PM
some look like a good deal... Thanks for the link
Title: Re: Muskoka
Post by: MikeS on October 25, 2010, 03:15:42 PM
most do, except for one of course ???
Title: Re: Muskoka
Post by: Bruce289 on October 31, 2010, 12:31:16 AM
If the successful bidder for property 09-10 (Part Lot 31 Concession B Watt, being Part 2) is on this forum and purchased it with the intention of flipping, please PM me.

Thanks... Bruce
Title: Re: Muskoka
Post by: speedfreeksteve on November 01, 2010, 06:24:59 AM

it redeemed

Extract Partial Quote from an experienced Pro who is a lurker on this board with whom I have exchanged some Private Messages:

"I will no longer bid on a property unless I have owned and sold something in that area - no exceptions. I now prefer to see a property, search the title, visit engineering and planning, submit the tender, and attend the opening all on the same day. You cannot do that in an unfamiliar area at my age. Each year I get more focused."

Sounds like not bad advice.  As I have said before knowing your territory isn't all bad ;) Only way a youngster like me can compete against the more experienced and smart pro's who hang out here.

Personally I believe the people on this board buy the majority of smart tax sale buys in at least southern Ontario.  Not sure of the north.  More of the Pro's hang out here then people realize.  One of the benefits of posting is you get access to some interesting people and if you share advice you get rewarded in return.  I am also starting to learn the home territories of various bidders.  (not all of what I do is in the public domain).  

Based on the tax sales I've been a part of I think that the ones in cottage country are the "hot properties" of the past few years.

The Hamilton-Niagara homes that go tax sale are usually dumps or ex-meth labs with problems. Same goes for anything just east of Toronto.

In cottage country it's usually land. It makes things more affordable and just about everyone has this dream to own land in the north. The downside is that it usually won't ever sell fast and most get overbid (but not all of them). I own 2 tax sale properties in cottage country and if I had to sell them within a month or so I'd be concerned no matter what time of the year it was. The upside is I risked much less considering I put out less money and that I don't have to worry about a home that becomes a money pit.

I do agree that knowing the territory is a huge advantage. There was 2 in the past year that I had ia pretty good knowledge about the previous owner and that gave me a big advantage. Unfortunately, the information that I knew was not positive, so I didn't go after either property.

Title: Re: Muskoka
Post by: new_1 on November 04, 2010, 01:51:26 AM
None of the tax sales properties has positive information.  If you are looking for positive history of the property I suggest switching to hunt on MLS .  It?s all so sad, that people are losing their land in many different ways.
Sorry man....