03/14/2022
Do me a favor, please. CA is trying to take more money away from those trying to make a living. Contact your representatives in your district and tell them to vote "NO" on this bill.
California's AB 1771 would impose a tax up to 25% on an investor’s net capital gain from the time of purchase until the final sale or exchange of a property. This targeted tax penalty would provide a disincentive to housing investors, giving traditional homeowners the edge in securing a home purchase, and stabilizing home prices for all.
Investors are already paying 30% taxes on short term capital gains. Most investors are buying undesirable houses, fixing them up and then selling them for reasonable prices. They are stimulating the economy by providing jobs to contractors, spending money at local hardware stores and other shops, and already paying high taxes for their investments.
Time once again to tell CA legislators to keep their hands off of our desire to make an income and to improve communities. Their position is that people can afford to buy them at the lower sales price and fix up the homes themselves. Sad to say, most people do not buy fixers, then DIY. They cannot afford to do it or have the ability to do it well. So, they will live with substandard living conditions or worse, let the house get into more disrepair and lose their house.
Most investors have good motives, fix up neighborhoods by fixing up homes so people can afford a better property. I am not a fixer upper, but know many who do. I buy and hold properties, sell them to people who cannot afford to get a conventional loan today and in a few years they can pay me off. I am not speaking for all, but I believe I am speaking for the majority of investors when I say, we are in this to make our communities a better place, helping people who cannot get the help they need from conventional means, ie. banks and mortgage lenders, or being able to purchase a home where the seller cannot afford to fix it before selling or the buyer cannot afford to fix before or after their purchase.
So PLEASE, tell your representative in Sacramento to vote "NO" on AB 1771.
Thank you and God bless you all.
