[api]

A few starter ideas:

(1) Repealing prop-13 is probably a non-starter but we could probably get away with repealing it for non-owner-occupied homes. Prop-13 was meant to prevent people from being driven from their homes by property tax increases, not to protect speculators from being taxed.

(2) Levy a substantial additional property tax on residential properties that are not currently occupied by either the owner or a renter (for more than e.g. 6 months). These should at the very least be on the rental market.

(3) Subject all real estate purchases and investments to KYC/AML and other rules. AFAIK one of the things driving this loony real estate speculation is that RE has become a preferred vehicle for money laundering after KYC/AML made other financial investments less attractive for that.

(4) Tax foreign (non-US-citizen) purchases of residential real estate. Yes they'd set up shells and recruit locals to be proxy buyers, but at least this would give them more hoops to jump through and would probably reduce the extent of the problem.

[vonmoltke]

> (1) Repealing prop-13 is probably a non-starter but we could probably get away with repealing it for non-residents. Prop-13 was meant to prevent people from being driven from their homes by property tax increases, not to protect speculators from being taxed.

I have never lived in California, and Prop 13 passed before I was born anyway, so I don't know much about the political backstory. That said, if this was the purpose that got it passed, why is the exemption so broad? How does capping Safeway's property taxes keep people from being driven out of their homes?

[compiler-guy]

The corporate protections are unintended consequences of the original proposition. They really weren't on people's radar. (This is why California residents should almost always vote against propositions, even if the idea and goals are good: Fixing the unintended consequences is extremely difficult. It would be better to find other ways to implement the idea.

But getting anyone to fix proposition 13--even in this very limited instance of not protecting corporations anymore--brings out all the apocalyptic messaging (from basically everyone, but especially the corporations) that the old folks who bought in 1970 and have lived their whole lives there will be out on the street when their property taxes go up 10x.

There is no nuance in these messaging battles. And quite frankly, what property owner wants to take any kind of risk with this?

[asdff]

If they went up 10x that means they are out on the street with north of 500k in their pocket. Should be plenty to pay rent at the senior center for the next dozen or two years.

[slavapestov]

> (4) Tax foreign (non-US-citizen) purchases of residential real estate

So permanent residents and visa holders cannot buy property and are instead forced to rent? What a terrible idea.

[LorenPechtel]

Make it a year, not six months. The problem is investors, not vacation homes or snowbird homes.