Re:Schwab Leaves San Francisco for Texas
by skybrian on Saturday November 30, 2019 @12:38PM
(#21671090)
While California taxes are high, this doesn't seem to be the main reason that building more housing is difficult? For that you can blame zoning restrictions and political opposition.
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Re:Schwab Leaves San Francisco for Texas
by zer00eyz on Saturday November 30, 2019 @01:43PM
(#21671480)
That is a piece of it. But the housing market lacks liquidity due to prop 13. When your tax basis doesn't reflect the value of your property and doesn't keep up with inflation it makes NO sense for you to move in response to market conditions.
Not building housing increases the value of what I already own, and the tax policy means I don't face the economic pressure to change any of it. The two are deeply linked and going to be nearly impossible to change.