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The only time you should look at your neighbors plate is to see if they have enough. Otherwise be thankful that Prop 13 will protect you as you get older. I do

The only time you should look at your neighbors plate is to see if they have enough. Otherwise be thankful that Prop 13 will protect you as you get older. I don’t care that some of my neighbors are paying 1/20 what I am paying in taxes. They have lived in the same home for 25 years, they deserve it. I would not want to get kicked out of my house because I couldn’t afford the property taxes, that would be unfair. And one other thing that you don’t mention is that property taxes get reset if you make upgrades to your house. If someone lives in the same home and makes no upgrades then good for them, it means they can’t afford to move so leave them alone.

mikeyouse 7y ago
Just to be clear, while they’re avoiding property tax increases, they’re banking massive unrealized capital gains (which will also be passed through untaxed when the property is bequeathed to their children). Prop13 + stepped up basis in capital gains means that we’ve legislated inequality and in many cases racial inequality since only white families could buy property in the wealthier enclaves of California.
jedberg 7y ago
> The only time you should look at your neighbors plate is to see if they have enough. That's a nice platitude, but doesn't apply here. I'm paying for my neighbors services. They have as much ability to pay as I do. I want that to be fair. I have no problem helping those in need, but someone who owns a $2MM property isn't in need. > Otherwise be thankful that Prop 13 will protect you as you get older. This is red herring being spread by the anti-tax zealots. In all the other states, somehow old people aren't being priced out of their homes despite the lack of prop 13. The reason? Because property prices don't climb as quickly. They also have subsidies for the elderly. There are lots of solutions to this problem besides freezing taxes. I'm not worried about being priced out when I'm old, because I plan for taxes to go up. Also, when I get old, I won't need four bedrooms anymore, because my kids will be gone. I will downgrade to a smaller home and let a younger family take my place, as is what happens in most functioning housing markets. > I would not want to get kicked out of my house because I couldn’t afford the property taxes, that would be unfair. Worst case, you can take out an equity line to pay the taxes. > And one other thing that you don’t mention is that property taxes get reset if you make upgrades to your house. This is only partially true. You only pay extra tax on the cost of the upgrade itself. You don't reset on all the equity you've earned.
- remote_phone 7y ago
  Of course you don’t worry about the future you’re a rich tech worker. My neighbors are 60-80 years old. They never benefited from the salary gains. House prices have doubled in 6 years in the Peninsula. How the hell can retirees afford to pay for property taxes that go to over $2000/month? They just want to live in peace and sell their house when they are ready to sell, not when they are forced to because employees at Netflix made 500k+ and their stock went up 43x in 10 years. No one can compete against that when you’re lucky like that. Prop 13 is great for creating stability. As a home owner myself I don’t care that I’m paying 20x, I care that my future property taxes won’t drive me out of my house.

mikeyouse 7y ago

Just to be clear, while they’re avoiding property tax increases, they’re banking massive unrealized capital gains (which will also be passed through untaxed when the property is bequeathed to their children). Prop13 + stepped up basis in capital gains means that we’ve legislated inequality and in many cases racial inequality since only white families could buy property in the wealthier enclaves of California.

jedberg 7y ago

> The only time you should look at your neighbors plate is to see if they have enough. That's a nice platitude, but doesn't apply here. I'm paying for my neighbors services. They have as much ability to pay as I do. I want that to be fair. I have no problem helping those in need, but someone who owns a $2MM property isn't in need. > Otherwise be thankful that Prop 13 will protect you as you get older. This is red herring being spread by the anti-tax zealots. In all the other states, somehow old people aren't being priced out of their homes despite the lack of prop 13. The reason? Because property prices don't climb as quickly. They also have subsidies for the elderly. There are lots of solutions to this problem besides freezing taxes. I'm not worried about being priced out when I'm old, because I plan for taxes to go up. Also, when I get old, I won't need four bedrooms anymore, because my kids will be gone. I will downgrade to a smaller home and let a younger family take my place, as is what happens in most functioning housing markets. > I would not want to get kicked out of my house because I couldn’t afford the property taxes, that would be unfair. Worst case, you can take out an equity line to pay the taxes. > And one other thing that you don’t mention is that property taxes get reset if you make upgrades to your house. This is only partially true. You only pay extra tax on the cost of the upgrade itself. You don't reset on all the equity you've earned.

remote_phone 7y ago
Of course you don’t worry about the future you’re a rich tech worker. My neighbors are 60-80 years old. They never benefited from the salary gains. House prices have doubled in 6 years in the Peninsula. How the hell can retirees afford to pay for property taxes that go to over $2000/month? They just want to live in peace and sell their house when they are ready to sell, not when they are forced to because employees at Netflix made 500k+ and their stock went up 43x in 10 years. No one can compete against that when you’re lucky like that. Prop 13 is great for creating stability. As a home owner myself I don’t care that I’m paying 20x, I care that my future property taxes won’t drive me out of my house.