Tomorrow, November 8th is the election day. Have you already voted? As most of you know this upcoming election is very important. Make sure to review you ballot carefully before you go and vote. Proposition 8 was approved by voters back in November 1978, after they passed Proposition 13. This prop has directly effected homeowners in California. Concerned homeowners have reached out with new cost increases to there quarterly tax bills.
“Proposition 8 was approved by voters in November 1978, five months after they overwhelmingly passed Proposition 13.
While Proposition 13 was intended to protect property owners in a time of rapidly increasing housing values, Proposition 8 was intended to give temporary relief to those who saw their home values reduced in a declining market.
Proposition 13 put a cap on property tax increases, while Proposition 8 allowed for a temporary property tax reduction under certain circumstances.
Under Proposition 13, taxes on property are one percent of the current value on the assessor’s books. This value is computed as the base value, usually the purchase price, increased by two percent in each subsequent year under normal market conditions. (Proposition 13 allows for this modest annual increase in assessed value to account for inflation.) This is called the Proposition 13 trended value.
Proposition 8 allows for a temporary decrease in the trended value (and taxes thereon) when the market value of a home declines to less than the assessed value on the assessor’s books. Homeowners most likely to fall into this category are those who bought their properties just before a substantial decline in real estate prices.” Howard Jarvis Taxpayers Association- To read more click here
Have a vision? Make the right decision, and VOTE!!