- I've written before, as have several others, about the argument in the North Carolina legislature about whether or not to allow the option for a land transfer tax.
If you're not familiar and don't want to follow the link, the lowdown is that it's a proposed 1% tax on sellers of real estate. Straight out of sellers' pockets, supposedly to pay for improvements to infrastructure in the counties where the property is located.
The North Carolina Association of Realtors is against this tax for many, many reasons. Very legitimate reasons.
- The tax takes money straight out of sellers' pockets. Which means that prices will probably be raised to cover it. Which means that the cost will end up coming out of the buyers' pockets. And loan amounts will have to allow the raised prices.
- Which means that especially at the entry level of the marketplace, we will lose buyers as home affordability will suffer. Payment-sensitive buyers will find their price range affected-JUST TO PAY A TAX.
- Which means that we will see a further decline in pending and sold properties.
- Which means there might not be as much money flowing in as the politicians anticipate!
- And when real estate sales suffer, lenders lose jobs...agents lose jobs...builders lose jobs...subs lose jobs...home stagers lose jobs...etc. It's a big domino effect.
(Besides all that, who can tell me where the proposed tax money will REALLY go? If you think every penny will go straight into roads and schools, I've got some lovely oceanfront property in Arizona for you.)
Now, if you read my stuff regularly, you already know that I'm a member of the VRWC (Vast Right Wing Conspiracy). But don't write me off just yet.
Our 'esteemed' Governor Mike Easley, he of the left-wing and the private airplanes and usage of public funds, has been in the press this week talking about how the NC Realtors are trying to intimidate the legislators into defeating this tax. (Our RPAC is quite strong, have you sent in your contribution yet? It's NECESSARY.)
His argument is that Realtors are trying to protect their own livelihoods at the expense of the citizens of the state. Ahem. Last time I checked, my livelihood depends on PROTECTING MY CLIENTS' BEST INTERESTS. Which in this case means protecting the affordability of first-time housing. Protecting the hard-won equity in sellers' homes. Demanding that the state better account for the money it spends and not just throw more money into what seems to be a bottomless pit.
Great post on a pet peeve of mine! Politicians! They are not liberal, or conservative, they are not Republican or Democrat. They are pigs at the trough. They have become blatantly self serving and feel that they need not be attentive to those that elected them, and accuse constituents of foul play when we organize and bring their dark deeds into the light! They were incensed recently when citizens across the country lost it when they tried to go against the will of the people on immigration. Shame on them, we've got their number!
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