A.D. Cantelmo Property Management
Our Business is Property Management in Orange County California
How Taxing Rental Property Owners Kills
Jobs!
We always
hear from Politicians about how they are going to create jobs and stimulate the
economy, but in reality, what they end up doing is
destroying the income of people by tax policy. Let’s look at how
many people are affected by taxing Rental Property Owners when they sell their investment
property (not doing a 1031 exchange).
When you
sell your primary residence, you get a $500,000 tax exemption if you are married
and a $250,000 tax exemption if you are single, but if you sell your rental
property, you are taxed on any gain or profit you earn and in many cases it is enough to dissuade Rental
Property Owners from selling. In my business of Property Management in Anaheim Ca. I wonder how many jobs are impacted when a property is not sold.
First there
are the people in my industry, the Realtors. If there is no sale, there is no
income for the Realtor usually 2 Realtors on a sale. (Many of
you may have no sympathy).
The Escrow officer,
The Title Rep and Title Officer, The
Mortgage Broker, the Loan officer, the Appraiser, the Home Warranty Rep. and Insurance Agent.
People in
the construction industry.
Repair
people, Carpet installers, Carpet sales people, Painters. Home inspector.
Cleaning people.
People in
the Moving industry.
Sales people, Moving people out, and moving people in.
Termite
industry.
Termite inspector, People who tent the house or do other treatments.
New home
owner may need new Furniture,
Furniture
sales person and delivery people. Remember this scenario is
repeated thousands of times per year all over the Country.
How much income is
lost due to these policies? I know that
many people feel that those rich Rental Property Owners must be punished
through tax policy, but the reality is, even if you feel that way, if a Rental
Property Owner does not sell, due to taxes they still have the property and collect
rents. What about all those people who will not get paid, and that does not
even take in consideration what the Rental Property Owner would do with the
money they make off the sale. They may buy a new car, or take a vacation, or
give money to charity. All those activities also create income for others. So
the question is, who is really getting punished?
If you have any questions, Call Tony 714-313-7413
A.D. Cantelmo Property Management Specializes in Property
Management in Orange County Ca.