Voting time is just around the corner and there are TWO propositions on the ballot that effect both renters and homeowners alike. Here’s the 411:
YES on 5: The California Association of Realtors (C.A.R) Property Tax Fairness Initiative
- Seniors will have the freedom to downsize or move closer to family.
- The severely disabled will be able to move to more practical homes.
- Many disaster victims would be able to move without being penalized.
Summary: removes the unfair moving penalty for seniors, the severely disabled and disaster victims across the entire state while still ensuring they pay their fair share of property taxes.
Too many Californians feel like they will never be able to become homeowners. Eliminating the moving penalty for seniors, disaster victims and the severely disabled will create more opportunities for both new and continued homeownership.
NO on 10: The “Affordable Housing Act”
- Allows the government to dictate rental pricing for privately owned single-family homes.
- Reduces home values by more than 10%, according to MIT researchers; results in an average loss of approximately $39,000 per California homeowner.
- Significantly restricts what single-family homeowners can do with their homes such as charging a fee to homeowners for taking their home off the rental market.
Summary: Makes California’s housing crisis worse. It’s the wrong solution for a state that desperately needs to create more affordable housing for middle class families. Prop 10 will reduce affordable and middle-class housing while driving down existing home values, resulting in fewer direct and indirect real estate transactions, and less economic activity and investment.
Academic experts and the state’s nonpartisan Legislative Analyst agree that it would drive up rent, reduce availability of rental housing, discourage new construction, and provide even less affordable housing.
For more information, please visit www.housingforCalifornia.com.