California laws freeze property taxes for residents over the age of 55. The end result is that new homebuyers can pay multiples of what their senior neighbors cough up, because the housing value has been locked in to the pre-'00s price booms. They’re not the only state with these very elderly-friendly property tax rules.
Ok, I didn’t have that law, but my main problem with that law is that it is limited to people over 55.
Problem is property tax valuation ends up mixing up people just using their house as a place to live, and folks using it as a financial instrument. So people can get hosed on the property tax despite having no actionable wealth derived from their residence.
Problem is property tax valuation ends up mixing up people just using their house as a place to live, and folks using it as a financial instrument.
Most tax districts have a “homestead exemption” which is limited to one home per homeowner. You can game this (spouses and children having property declared in their names, for instance). But - broadly speaking - the law does accommodate this exception.
The bigger problem is that our financial sector is so bloated with unspent cash and so hungry for ROI that our tax system isn’t a serious deterrent to landlordism and financialization of real estate.
I disagree with this one…
California laws freeze property taxes for residents over the age of 55. The end result is that new homebuyers can pay multiples of what their senior neighbors cough up, because the housing value has been locked in to the pre-'00s price booms. They’re not the only state with these very elderly-friendly property tax rules.
Ok, I didn’t have that law, but my main problem with that law is that it is limited to people over 55.
Problem is property tax valuation ends up mixing up people just using their house as a place to live, and folks using it as a financial instrument. So people can get hosed on the property tax despite having no actionable wealth derived from their residence.
Most tax districts have a “homestead exemption” which is limited to one home per homeowner. You can game this (spouses and children having property declared in their names, for instance). But - broadly speaking - the law does accommodate this exception.
The bigger problem is that our financial sector is so bloated with unspent cash and so hungry for ROI that our tax system isn’t a serious deterrent to landlordism and financialization of real estate.