4 ms·
The problem with Prop 13 is not about its effect on tax revenue. Prop 13 is no different from rent control. It distorts the market and limits supply. If a pro
by triceratops 6mo ago
The problem with Prop 13 is not about its effect on tax revenue.
Prop 13 is no different from rent control. It distorts the market and limits supply.
If a property owner can't afford the tax on their land, it means the land is under-utilized. SFHs should be replaced by townhomes which should be replaced by multi-family buildings and so on. That doesn't happen because people who bought a house 50 years ago for a few beads and pieces of gum don't have this market signal in the form of a higher property tax bill.
- deleted 6mo ago[deleted]
- encoderer 6mo agoYeah it distorts the property market. It doesn’t create a budget crisis as suggested.
- triceratops 6mo agoWhere was it suggested that it caused a budget crisis? This started from https://news.ycombinator.com/item?id=47938121 https://news.ycombinator.com/item?id=47938121 which said "Proposition 13 limits property tax collection, which warps housing development and many other factors."