This is for anyone, but especially other Californians. I just got my property tax bill. For my 1600 sq. foot house, the annual tax is now $4,000. 
A year ago it was half that amount. But here in California we have Prop 13. Hence, the increase.....
Because when there is any title change in California (even adding someone onto the title) the property is reassessed (with a 1% rate, up to a 2% cap. But...with property values sky high in the high population centers....and the assessment done by the gov't....those rates, plus all the inflated costs of local services that can be tacked on...really really add up.
So, someone next door to me who has owned their 3200 sq foot house for 23 years (purchased at 50,000), pays the same amount they did in 1980 (probably about $500 a year. Twice as big a home, now probably worth a million dollars, and that's all they pay.
I realize that, in this market, I'm very lucky to even be able to own a home here. But, the question is...is this fair?
So...Do I have this right? I know property is just sky high and there needs to be a cap...but is it fair to put such a disproportionate burden on new homeowners while giving those who bought at very low prices (even as recently as five years ago) get off paying very little for a home that has actually greatly appreciated?
No wonder people moving here from some other states are in shock at the cost of living increases they face.
A year ago it was half that amount. But here in California we have Prop 13. Hence, the increase.....
Because when there is any title change in California (even adding someone onto the title) the property is reassessed (with a 1% rate, up to a 2% cap. But...with property values sky high in the high population centers....and the assessment done by the gov't....those rates, plus all the inflated costs of local services that can be tacked on...really really add up.
So, someone next door to me who has owned their 3200 sq foot house for 23 years (purchased at 50,000), pays the same amount they did in 1980 (probably about $500 a year. Twice as big a home, now probably worth a million dollars, and that's all they pay.
I realize that, in this market, I'm very lucky to even be able to own a home here. But, the question is...is this fair?
So...Do I have this right? I know property is just sky high and there needs to be a cap...but is it fair to put such a disproportionate burden on new homeowners while giving those who bought at very low prices (even as recently as five years ago) get off paying very little for a home that has actually greatly appreciated?
No wonder people moving here from some other states are in shock at the cost of living increases they face.
