US cities’ mansion taxes see mixed results
Written by Black Hot Fire Network on April 14, 2024
When Los Angeles voters approved an extra tax last year on home sales over $5 million, officials projected annual revenue of $700 million to help alleviate the city's rampant homelessness crisis.
But a year in, LA's “mansion tax” has fallen far short of expectations — generating barely a quarter of the promised revenue — and has arguably put a chill on high-end home sales as wealthy homeowners stay put rather than pay the six-figure tax bill.
"Given the high-interest rate environment we find ourselves in and now this exorbitant tax on top . . .
