[quote=flyer] . . . Like many real estate investors, we eventually want to be able to turn everything over to our kids, and, IMO, that is why much of the “trophy real-estate” in places like San Diego rarely goes on the market for anything other than a stratospheric price. Of course, there will always be a few exceptions.
In my circle of people who have lived here for many years, it has been handed down from one generation to the next, and I think that will continue here, and in many locations going forward.[/quote]
Thank you for this post, flyer.
I’ve been trying to tell members of this forum for years that there are many thousands of families in this state who have the same goals (of handing down their acquired CA RE portfolio to subsequent generations) as you do. This practice has had and will have the effect of keeping a good portion of the best-located residential properties permanently off the market.
For each successive year that Props 58 and 193 remain on CA’s books, more and more properties will be handed down. In any case, if wholesale or piecemeal repeals of these sections ever get before the Legislature, those soon-to-be affected owners will simply hand down their affected properties early … prior to their deaths ;=]
If any Pigg is dreaming of buying a coastally-located “trophy house” in the far future (after liquidating their “working class” rental portfolio), I would suggest they immediately sell one or more investment properties, if necessary, and actively shop for that “dream trophy house” now.
There are very few, if any, “fixer” view trophy houses available in coastal SD anymore but that is what I’m advocating buying today if at all possible, short of a structurally-damaged home costing more than $30K to fix properly (unless the buyer has deep pockets and bought way under market value).
The "bones," lot and view on it are very, very good. They are out there ... but rare. The only reason this one is out there is because either none of the "heirs" wanted it or there were no heirs.
I just checked the SD Assessor site and the current taxes on it are currently $733 year.
If there ARE heirs, none of them must have the ability to buy the other(s) out or don't want to. It is a shame that the $733 annual tax will be lost forever upon sale. This is precisely the reason that the vast majority of similarly-situated properties will never hit the market.
