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Land prices are skyrocketing in NY, CA, London, Mumbai, Delhi, Beijing and Singapore, among many other places. I didn't know that prop 13 applied in Beijing -

• crdoconnor 11y ago
  None of those cities had particularly high land taxes in the first place. CA is simply where property taxes are the most ridiculously low (thanks to prop 13). Low interest rates has yield chasers looking for investments all over the globe. Additionally, most countries lowered their interest rates in response to the US doing so in order to prevent a sudden and sharp increase in their currencies via the carry trade.
  • yummyfajitas 11y ago
    NJ has property taxes 3x CA and has experienced a similar rise in prices. https://wallethub.com/edu/states-with-the-highest-and-lowest-property-taxes/11585/ https://wallethub.com/edu/states-with-the-highest-and-lowest... What evidence do you have that some change in property taxes (e.g. Prop 13) has occurred simultaneously and globally and is somehow related to skyrocketing land prices?
    • crdoconnor 11y ago
      Should I mention interest rates a third time? I presume you realize that New Jersey has the same interest rates as everywhere else in the US?
      • yummyfajitas 11y ago
        I didn't disagree with you that low interest rates spur investment (including investment in land). It was the blaming foreigners and prop 13 that I was taking issue with.
        • crdoconnor 11y ago
          https://www.wnyc.org/story/how-foreign-investment-driving-housing-boom-sf-and-nyc/ https://www.wnyc.org/story/how-foreign-investment-driving-ho... I can't imagine how the idea that higher property taxes = lower property prices & vice versa should be controversial.
          • yummyfajitas 11y ago
            I'm not disputing that either. I'm disputing the specific fact that Prop 13 has driven the simultaneous global increase in property values. You could certainly reduce real estate prices by raising taxes on them - that would just be a one-off drop rather than the continuous increase we've seen. It's ridiculous to blame foreigners for the NIMBY policies that prevent building enough housing in NYC, SF, Mumbai, etc. If foreigners want to buy lots of housing we should just build more of it and sell to them. Trumpkins should at least aim for consistency, rather than simultaneously complaining when Mexicans sell us things and also complaining when Chinese buy things from us. Is there anything that those foreigners can do to avoid being blamed for our problems? Let me guess, just pay for the wall? From your article: “The money coming from China is really helping some projects get literally off the ground, and it’s increasing our housing stock
            • shanacarp 11y ago
              NYC != NYS NYC != Buffalo, NY Brooklyn != Staten Island Prospect Heights !=Great Kills Frankly, within a few blocks within a neighborhood inside NYC, you can get a ton of variability of pricing for all sorts of reasons. I can name at least one Hamlet in NYS, and possibly one in NJ that had housing prices rise as taxes rose to among the highest in the state, if not the country. Conversely, I know of at least one town in NYS, and possibly Jersey, that effectively saw the reverse (lowered effective taxes, property values dropped) The state of California versus San Fransisco has just as many issues. The pricing difference between SF versus Sacramento is huge. People buy real estate, which is not the same as land, mind you, for all sorts of reasons The View, Neighborhood Amenities, Investments, transportation, it has sidewalks, the house has wood and not steel beams, what have you
• khuey 11y ago
  China doesn't have property taxes at all.