5 ms·

Decreased quality of life for those who rent and can no longer afford to live in the gentrified neighborhood. Increased property taxes for those who already ow

Decreased quality of life for those who rent and can no longer afford to live in the gentrified neighborhood. Increased property taxes for those who already own can force even long-time residents to move, regardless of whether they actually want to, simply because their home has suddenly and unexpectedly increased in value. You could argue that this is a windfall - but being forcibly displaced by increased cost of living isn't fun, even if you do get a bunch of money for your house (that you didn't want to sell in the first place). Also, change is scary.

koolba 11y ago
> Increased property taxes for those who already own can force even long-time residents to move, regardless of whether they actually want to, simply because their home has suddenly and unexpectedly increased in value. That's not really an issue in California as property tax growth is fixed: https://en.m.wikipedia.org/wiki/California_Proposition_13_(1978) https://en.m.wikipedia.org/wiki/California_Proposition_13_(1... Cash poor home owners get "stuck" in their homes because if they sold and bought a new house, they'd have significantly greater property taxes. Theyre better off keeping the home and either living there or renting it out.
uiri 11y ago
In California, real property is only reassessed at market value when it is sold or transferred. So property taxes won't increase on long-time residents who don't move. Rent control is, I believe, intended to provide the same effect for long-time residents who rent instead of own. I agree that increases in other components of the cost of living of an area can have the same effect though.
- sulam 11y ago
  It's also reassessed if you improve it in any substantial way. My property taxes doubled after a remodel. Some of that was the remodel, but roughly half was due to prices in the neighborhood going up since my wife and I originally bought the house. In my case we can afford these extra taxes, but I can easily imagine that in other circumstances this would be difficult. The alternative is doing work without permits, which comes with other risks.
  - 1812Overture 11y ago
    You got permits for your remodel? Everyone else I know in California does it on the dl and doesn't tell the city for this reason(and many others).
    - sulam 11y ago
      We built up, no way to avoid it. People get caught in our neighborhood unless they're keeping it way under the radar.

koolba 11y ago

> Increased property taxes for those who already own can force even long-time residents to move, regardless of whether they actually want to, simply because their home has suddenly and unexpectedly increased in value. That's not really an issue in California as property tax growth is fixed: https://en.m.wikipedia.org/wiki/California_Proposition_13_(1978) https://en.m.wikipedia.org/wiki/California_Proposition_13_(1... Cash poor home owners get "stuck" in their homes because if they sold and bought a new house, they'd have significantly greater property taxes. Theyre better off keeping the home and either living there or renting it out.

uiri 11y ago

In California, real property is only reassessed at market value when it is sold or transferred. So property taxes won't increase on long-time residents who don't move. Rent control is, I believe, intended to provide the same effect for long-time residents who rent instead of own. I agree that increases in other components of the cost of living of an area can have the same effect though.

sulam 11y ago
It's also reassessed if you improve it in any substantial way. My property taxes doubled after a remodel. Some of that was the remodel, but roughly half was due to prices in the neighborhood going up since my wife and I originally bought the house. In my case we can afford these extra taxes, but I can easily imagine that in other circumstances this would be difficult. The alternative is doing work without permits, which comes with other risks.
- 1812Overture 11y ago
  You got permits for your remodel? Everyone else I know in California does it on the dl and doesn't tell the city for this reason(and many others).
  - sulam 11y ago
    We built up, no way to avoid it. People get caught in our neighborhood unless they're keeping it way under the radar.