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

To: Steve_C who wrote (205412)	5/31/2009 3:11:12 AM
From: Broken_Clock	Read Replies (1) \| Respond to of 306849

Jim: Tax breaks artificially prop up prices, that's a fact. Without them and some other factors, home prices will drop in line with incomes. You: All, I'm trying to point out here is that you can't take it as FACT that tax breaks ALWAYS cause the market price of a good to rise. You: But that doesn't mean that prop 13 doesn't raise the price of housing Me: Thanks for proving Jim's point. W/o prop 13 prices will fall. They have a lot further to fall in the more inflated, wealthier areas. Costs a lot for all those 'special' schools and services. edit. Funny how those ignorant bankers are really tightening up on the jumbo loans. They must have skipped the econ classes you took. It couldn't possibly to related to higher risk in the wealthier areas.

To: Steve_C who wrote (205412)	5/31/2009 12:38:49 PM
From: Skeeter Bug	Respond to of 306849

>>Grandpa, you're confused. I gave an example of a "tax break" that resulted in a lower home price.<< i know i said i wouldn't feed the troll, but i still have a little sympathy for ignorance this deep. the tax break DID NOT CAUSE THE LOWER HOUSING PRICE. SOMETHING ELSE DID, WHICH MAY OR MAY NOT BE RELATED TO THE TAX BREAK. there is no evidence that getting rid of prop 13 will increase the value of services significantly - and nobody wants to pay significant money for less than significant services and many people want less of the kind of "service' that increases pensions 50% and doesn't budge drop out rates or dramatically improve our schools. not everyone enjoys sitting in the DMV like you do, Steve. ok, no more troll feeding. all other ignorance on Steve's part will be up to him to finally sort out by taking an econ 101 and remedial reading class.