January 8, 2021 In the November 2020 election, California voters narrowly passed Proposition 19, a measure that impacts two major areas related to property tax and property transfer. First, it gives homeowners more flexibility to change residences anywhere within California while retaining their property tax base as long as the new home is purchased within … Continued
Like any classic “Spaghetti Western”, the recent major tax law has some “good” elements with regards to residential real estate, some “bad” outcomes, and some “ugly” aspects, too … with the “u” in ugly standing for unclear, unknown, and unresolved. These various factors are laid out below. But the main overriding feature of the law … Continued
There are many reasons why people accumulate personal debt, and home purchase and improvement decisions are usually at the top of the list. In addition, there are many unique advantages available to homeowners that generally make such debt attractive, including tax exemptions on realized gains and deductions for property tax and mortgage interest. And yet, … Continued
Home ownership has long been appealing to families, not only because it fulfills a “dream” but also because home ownership has favored status in the tax code. As with many personal financial matters, purchasing a home cannot be reduced purely to “bottom-line” calculations. Emotions, particularly the heightening sense of economic security, can come from financially-appropriate … Continued
The current environment is providing much improved revenue generation for California government, as general economic recovery is leading to higher overall tax receipts from various sources. The real estate recovery in general plus the prospect in many locations of potential upward readjustments in property value assessments—beyond normal annual increases—are major contributors to this brighter income … Continued