Quote:
Originally Posted by Star Ferry
Most people in SF either 1) became homeowners at a time when the prices were still attainable...
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And let's not forget that property taxes also increase with the inflationary values of any dwelling/property. At 1%, a typical CA homeowner is paying close to $25K per annum on a $2.5M home. Considering where these tax revenues are supposedly being allocated (i.e. city/county services, street/road repairs and public facilities etc.) this often amounts to very little in terms of an actual return.
Fortunately for some, the Jarvis-Gann Act of 1978 froze property taxes at their earlier assessment rates and there are folks in our neighborhood who pay anywhere from $1500 to $25K yearly for essentially the same house (depending upon when they purchased it). Then again, a majority of the current home purchasers are making far more money than most did in 1978 so in a way, maybe they should be paying higher property taxes.
In addition, a majority of the senior residents in the neighborhood almost always vote against school tax/bond issues as well, citing the fact that their kids have already grown up and that they bear no fiscal responsibility for other people's kids.
Bottom line. Even if you happen to own your own home, with all of these additional expenses (e.g. property taxes, repairs/maintenance et al) you're still essentially renting it until the grim reaper (or a foreclosure agent) calls you aside.