LOS ANGELES, September 29, 2022 /PRNewswire/ — The CALIFORNIA ASSOCIATION OF REAL ESTATE AGENTS® (CAR) today released the following statement in response to the “Market Housing Development Act” introduced today by House Representatives jimmy panetta (D-CA) and Mike Kelly (R-PA). Bipartisan bill increases capital gains exclusion amounts on sale of principal residence to $500,000 for single registrants and $1 million for co-registrants and indexes the exclusion for inflation.
« CALIFORNIAN REAL ESTATE AGENTS® thank Congressman Panetta for introducing the More Homes on the Market Act, which will provide the tax relief needed to California owners, especially the elderly, who have not been able to move due to the heavy tax burden that could result if they sell,” said the president of the CAR Otto Catrinaa bay area real estate broker and real estate agent®.
For California workers, a home is their biggest and most important investment. However, since the capital gains exclusion was enacted 25 years ago without indexing to inflation, fewer and fewer families have been able to downsize and access the equity accumulated in their homes. This has had the effect of reducing the number of homes available to young and first-time buyers, which has further driven up demand and house prices. »
The National Association of Realtors® believes that in Californiaup to 95% of single homeowners and 68% of married homeowners who bought their homes before 2000 could be subject to capital gains tax if they sold their homes this year.
Paving the way… ® in California real estate for more than 110 years, the CALIFORNIA ASSOCIATION OF REAL ESTATE AGENTS® (www.car.org) is one of the largest state trading organizations United States, with more than 217,000 members dedicated to advancing professionalism in real estate. CAR is headquartered in Los Angeles.
THE SOURCE CALIFORNIA ASSOCIATION OF REAL ESTATE AGENTS® (CAR)