Renters are not subsidizing other homeowners. They are subsidizing *their own landlords* if those LLs are paying below-market property taxes. Yes, renters in more recently purchased homes with market-rate prop taxes are subsidizing those who are paying lower taxes, as long as those renters are paying the full PITI costs on market-rate assessments to their landlords.
Personally, I think that if landlords are getting subsidized taxes, then there should be rent control on those properties so that the benefit goes to the tenants (if one is trying to argue that Prop 13 benefits tenants…which it generally does not, currently). That’s one way to make sure tenants aren’t footing the bill for the Prop 13 subsidy.
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As for holding onto paid off property that with a low, Prop 13 tax assessment, I’m going to break it down a bit. Sorry for taking so long, but I’ve got to look at the individual tax bills and current market values for some properties that I’m familiar with to show the numbers. Just been a bit busy, and not forgetting this.
