Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Steve_C who wrote (205316)	5/30/2009 1:56:57 PM
From: Skeeter Bug	Read Replies (2) \| Respond to of 306849

>>Without prop 13...doesn't a $600k house return to $200k in shortER order? Which ought to tell you the effects of tax breaks on houses etc. Throw in a repeal of the zero cap gains tax on the sale of a primary residence and the $200k turns into about $150k. It would be more but we've already fallen a bunch so less people have a profit.<< read it again - it doesn't say what you think it says. it says that housing will fall more quickly with prop 13 repealed - it doesn't say how much more quickly. we are already down 50% in some areas. another 16% is a gimme if interest rates continue to increase. if you took econ 101, you would know why they will increase over time.

To: Steve_C who wrote (205316)	5/30/2009 2:01:48 PM
From: Skeeter Bug	Read Replies (1) \| Respond to of 306849

>>And, guess what, he says it to you, and you agree with him!<< again econ 101. your lack of understanding is wasting everyone's time. "all else equal" doesn't apply to the real estate markets in washington and CA. their economies are significantly different. therein lies the different price / property tax ration, not in the property tax rate itself. it is absurd to argue that raising property taxes, all else being equal, will increase demand and pricing for housing. if that were true, we'd all want 50% property taxes so we could sell at all time highs! hopefully, increasing property taxes to 50% sending homes to immediate all time highs sounds absurd to you. that is your basic argument - and it is absurd. econ 101 would benefit you. greatly.