1719Re: [LandCafe] Baby Steps - Was: No land price with full land tax - simply is not true
- Nov 13 5:02 PM
And another thought ...
The median home price may well be $220,000, and let's say that land is 40% of that. But a large share of "homeowners" do not own their properties free and clear. For the bottom 50% of us (net worth distribution), "houses" are valued at $2.241 trillion and mortgage and home equity lines are $1.520. For the next 40% of us, houses are $9,573 and mrthel totals $3,561. See www.wealthandwant.com/issues/ wealth/50-40-5-4-1.htm
for details. The data is for 2004, taken from Currents and Undercurrents, by Arthur Kennickell, et al., from the Survey of Consumer Finances.
Sean Brooks wrote:
1) it's a mistake to say that land is the most valuable asset people have:
Median home price is ~$220,000.
Land portion of this is probably 30% - $66,000 - or less.
So already, their home, at $154,000 is worth more than their land.
2) Their land, at $66,000, might have an annualized value of $6,600/y.
The median 4 person household income in the U.S. $65,000/y, 10x the value
of their land.
So we have their labor, and their house, which are already worth more than
Furthermore, the initial steps towards LVT, a dual rate property tax,
financially benefits more homeowners than it hurts.
Likewise, an increase in LVT collected, concurrent with a reduction in wage
taxes, should benefit the vast majority of the population, who pays far more
than $6,600 in taxes on wages.
Achenbaum webster, http://www.wealthandwant.com ... toward abolishing poverty
- << Previous post in topic Next post in topic >>