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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Live2Sail who wrote (43664)	10/26/2005 11:12:13 AM
From: GraceZ	Respond to of 306849

You can reason that prop 13 discourages people to move, but this deduction isn't supported by what people actually do. How they act is far more telling than how you reason they should act.

To: Live2Sail who wrote (43664)	10/26/2005 11:47:02 AM
From: GraceZ	Respond to of 306849

Notice that the first paper chooses to compare CA to two states which also have high population inflows but little or no constraint on new home building, Texas and Florida. Then, instead of using the whole state to determine length of stay they use only major metropolitan areas with out accounting for the fact that areas change as they become more established and more dense. I can show you older established areas in the East that you have to read the obituaries in order to find a house to buy there. If they had used the entire state they couldn't have made the claims that they made about decreasing housing turnover because the whole state figures soundly contradict their findings. It's very convenient to leave out the data that doesn't conform to your preconception. Unfortunately the academic community is thoroughly seeped in this type of deceptive practice, especially when they are pandering to political powers. BTW they make a mistake in thinking that Florida doesn't have similar tax breaks to long time owners. My elderly father had an exemption on his house which allowed him to pay almost no property tax regardless of the market value (up to a ceiling). Many other states have tax exemptions for elderly owners including my own. Maryland gives older houses a break by depreciating older properties.