Georgists

 
eastisbest said:
Any economists on the board? An explanation for Dummies?

The ‘Georgists’ ...Want to Tax Your Land

Single tax?
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Intriguing. Never had heard of "Georgists" until now.

I did not get Grumbles take from the article but that does not mean he is wrong. Does not matter if LLC or personally owned but the incentive is development and the deterrent is higher taxes if not developed? Many rust belt towns have the same problem. A good chunk of neighborhoods are owned by LLC's in the burbs with little incentive to develop or improve.
 
jackson03 said:
I'm no economist but this would seem to punish any small entity or individual who cannot afford to develop or occupy a property. That Redfin is plugged in the article is a massive red flag.
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What's "Redfin" and why would they be a concern? Are they involved or just suportive? And does their support necessarity make it a bad idea?
 
jackson03 said:
I'm no economist but this would seem to punish any small entity or individual who cannot afford to develop or occupy a property. That Redfin is plugged in the article is a massive red flag.
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This is the sort of thing I'm wondering. A person can be too poor to improve their property. I think there are programs and would probably need be more to help them keep them safe to occupy. If they're not occupying them and their rotting, that can cause problems for those that remain. We are responsible to keep up what we own.

We had a property, a real nice one stay vacant because the people that inherited it couldn't keep up the taxes. Taxes aren't high here but they simply were in no position. The problem became, the city/county would demand anyone who purchased it to pay the delinguent taxes. Blatantly stupid and a generally good block of mostly owner occupied had a two story with basement, wood floors, old solid construction go vacant until the heads and thiefs found it.... Eventually, instead of a new tax paying family, it became an empty lot that the city now has to maintain. It still remains the only empty lot on the block.

Something needs changing.
 
The problem is nobody wants to be the early developer(s). A refurbished/gentrified neighborhood provides a higher ROI to later land development, in general, with less risk of the neighborhood not becoming sufficiently developed.

Beware Redfin and Zillow. Their overblown estimates are completely self serving and aid in artificially inflating the market.
 
jackson03 said:
Right, they are trying to corner the realty market. Exactly how that would work varies hugely by state.
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They are essentially traders, right ? They don't care if the market is stimulated by buying for low interest rates, or selling to avoid oppressive taxes, or any place in between. They just skim the money as it moves.
 
jackson03 said:
Right, they are trying to corner the realty market. Exactly how that would work varies hugely by state.
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I disagree. Redfin is an online real estate brokerage company that doesn’t have the ability to corner the market in neither actual real estate holdings nor real estate services. Maybe elaborate and we’ll see if I change my mind, but it’s doubtful.
 
cabezadecaballo said:
They are essentially traders, right ? They don't care if the market is stimulated by buying for low interest rates, or selling to avoid oppressive taxes, or any place in between. They just skim the money as it moves.
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Yes, Redfin is a real estate broker. They try to sell themselves on lower commission fees, but the tradeoff is often lower service; depending on the market. There’s a catch with redfin also. There’s always a catch lol.
 
irish_buffalo said:
Intriguing. Never had heard of "Georgists" until now.

I did not get Grumbles take from the article but that does not mean he is wrong. Does not matter if LLC or personally owned but the incentive is development and the deterrent is higher taxes if not developed? Many rust belt towns have the same problem. A good chunk of neighborhoods are owned by LLC's in the burbs with little incentive to develop or improve.
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TRANSPARENCY!! SKIN IN THE GAME!! No more hiding behind FACELESS and MEANINGLESS holding accounts and LLCS! The public has the right to know who is NOT DOING THEIR PART in their communities!!
 
Max Grumbleman said:
TRANSPARENCY!! SKIN IN THE GAME!! No more hiding behind FACELESS and MEANINGLESS holding accounts and LLCS! The public has the right to know who is NOT DOING THEIR PART in their communities!!
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But the article does not say that right? LLC or personal the public entity is looking to incentivize investment and decentivize doing nothing. Regardless of owner right?

The way I read that government will offer up cheap property and keep your taxes low if you invest. Currently, many tax dodges exist in cheap and perceived useless real estate. This discourages the investors who buy junk property like an old closed box store or in Detroit's case residential property and sit on it because it is worth more in the current state showing a loss.
 
irish_buffalo said:
But the article does not say that right? LLC or personal the public entity is looking to incentivize investment and decentivize doing nothing. Regardless of owner right?

The way I read that government will offer up cheap property and keep your taxes low if you invest. Currently, many tax dodges exist in cheap and perceived useless real estate. This discourages the investors who buy junk property like an old closed box store or in Detroit's case residential property and sit on it because it is worth more in the current state showing a loss.
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COMMUNITIES cannot apply pressure to someone they cannot find!! OFTEN it is simply a matter of INVESTIMENT SQUATTING!! Or BUYING A PROPERTY and WAITING FOR THE VALUE TO GO UP!! They DO NOT WISH TO PUT IN THE WORK THEMSELVES BUT WANT TO RIDE THE TIDE CREATED BY SOMEONE ELSE!! They are LEACHES!!
 
Max Grumbleman said:
COMMUNITIES cannot apply pressure to someone they cannot find!! OFTEN it is simply a matter of INVESTIMENT SQUATTING!!
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We had that problem with some guy in California, where so much spare cash can buy a midwestern town, owned and did nothing with beautiful downtown properties. Our property taxes so low, paying them barely showed up on the guys ledgers. He was speculating. The dumb part of his speculation, there were no other properties around for anyone to develop and increase the value of his. If he refused to sell and didn't develop, he was never going to get a return. The local county finally found a way to get it out of his hands and we're a couple steps closer to have two new jewels in the city.
 
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