Replies

Probably true. And see my post #28 where I discuss how state tax collections will probably go even higher as a result of the federal tax changes. That could trigger the process you’re talking about.

By the way, the reduction of the impact of the property tax and mortgage interest deductions should both work to depress housing prices below what they would otherwise be. As you said, if you remove the deduction you get less of it.

By the way, the reduction of the impact of the property tax and mortgage interest deductions should both work to depress housing prices below what they would otherwise be.

I see that as a positive result of this. My daughter and her husband just moved from Studio City, CA to a suburb of Phoenix. The income level is the same (they are both accountants), but an old 3 bedroom bungalow in the area they lived, even on a busy road and small lot, couldn’t be had for less than $650,000.

They just bought a beautiful, LARGE three bedroom home WITH a nice in-ground pool in their new location in Arizona for $260. No traffic hassles, awesome mountain biking (they are into that) and low taxes.

I would love to see home prices come down.