Posted on 04/02/2024 6:24:08 PM PDT by NoLibZone
Snippets:
During the first two months of this year, builders in California pulled 35% more permits for single-family homes than during the same period a year earlier, according to census data.
Permits for multifamily continued to decline — dropping 33%.
Though it’s known as the “mansion tax,” except for rare exceptions it applies to all properties sold for more than $5 million, no matter if they are gas stations, strip malls, apartment buildings or actual mansions. Under the measure, a seller is charged 4% of the sales price for properties sold above $5 million and below $10 million.
“ULA is like the last nail in the coffin,” said Robert Green, a Los Angeles developer. “It couldn’t have come at a worse time.”
In two or three years, as fewer apartments are finished “we will see rent start to go up again,” he said.
Normally, real estate analyst Patap said he’d expect apartment construction to rebound as land costs adjust downward.
But he noted developers say they are also cautious about building in L.A. because of a broader political shift in the city that’s more supportive of restrictions on landlords and more supportive of protections for tenants.
In the city of Los Angeles, multifamily permits dropped 24% in 2023 compared with 19% in Los Angeles County, census data show. (Data from the Construction Industry Research Board show even larger drops: 49% in the city and 39% in the county.)
(Excerpt) Read more at latimes.com ...
Also, every new home in Kalifornia MUST have solar energy rooftop systems. These mandated systems are not part of the mortgage. No doubt Newsom’s “friends” in the solar industry have shelled out their 10%.
The corrupt state government pulls this stuff right out of their lazy azzes...
I can only imagine what cockn'bull scheme they came up with for rooftop solar.
I have a friend who wants out of the state bad, and wants to off load a small apartment building in S.CA. He told me he's been holding off because he'll get economically gang raped if he sells it, so he's looking at alternatives...but in the long run he's still expecting to take a big hit when he sells it due to all the taxes, RE commissions and all the other BS charge$ that comes along with the sale.
Why did you leave out a critical piece of information in your posting - that the “Mansion Tax” only applies to real estate sales in Los Angeles?
It was only voted in for Los Angeles. The state government (as corrupt as it is) had nothing to do with it.
SOLAR ROOFTOP systems have proven to a HAZARD to pilots trying to land at LAX.
Sun reflecting off roof panels blind them.
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