My neighbors bought their house in 1975, pay $3k in property taxes. I pay 9k in property taxes. If I bought today I'd pay 17k.
I will not get a larger house because my property taxes would triple if I wanted another bedroom. A marginally larger house is not worth the marginal cost to move.
And with my 2.8% refinanced mortgage and 60% equity, and current rates today, there's no chance I'd sell.
It's a dream of mine to build a custom home, I can afford it, but I'm not willing to put up with a multi year struggle to get a house approved.
And then you have probably lots of people who didn't move to better jobs because it meant they'd buy a new home and all the people who couldn't move to a new, better job because people already there aren't selling even when they are retired because they want to keep that sweet property tax rate locked in. Prop 13 is poison for the economy.
kuchenbecker|2 years ago
I will not get a larger house because my property taxes would triple if I wanted another bedroom. A marginally larger house is not worth the marginal cost to move.
And with my 2.8% refinanced mortgage and 60% equity, and current rates today, there's no chance I'd sell.
It's a dream of mine to build a custom home, I can afford it, but I'm not willing to put up with a multi year struggle to get a house approved.
jjav|2 years ago
What neighborhood?
The largest gap I've been able to find is ~2.5x, the one you mention is more than 5x.
ajmurmann|2 years ago