The aftermath of the real estate bubble bursting has many homeowners staying put and retaining their current properties.  If you are one of the many that has not been able to sell your house or are upside down in your mortgage you have two decent options: 1) You can seek the assistance of a realtor that specializes in short sales; or 2) you proactively protect your homes value.  The first thing you need to be aware of is your right to contest/appeal your property assessment.  It happens more often than you may think that states will overvalue your home, resulting in higher property taxes.  There is a catch though; lower property values compiled with foreclosures can bring the value of all properties in the entire neighborhood.  You have to determine if its in your best interest to pay lower taxes or maintain a higher estimated property value.

Another step you can take is to have your home appraised.  This will let you know two very important things: 1) if your property has increased or decreased in value since you purchased it; and 2) the report can help guide the changes needed to increase the value of your home.  Continuing to make marketable improvements in essential areas like bathrooms and kitchens can make dramatic increases to your property’s value.

Participation in community activism sounds a bit ridiculous, but staying involved can pay off in the long run.  Pay close attention to new zoning laws, proposed new developments, and the reputation of your neighborhood’s school district.  Call on your neighbors to help make sure the neighborhood does not deteriorate.  If an abandoned foreclosure is preventing other houses from selling at decent prices, take the initiative to step up and make it look decent.  The lower the properties around you sell for, the lower your property value will be.

And finally, make sure you watch out for new taxes.  Many state and local governments are struggling financially, so they may raise property property taxes to cover shortfalls even though property values are declining.  Pay close attention to these new tax hikes or ask your CPA to alert you when new taxes arise.