The year of the ‘mansion tax’: Hundreds of millions raised, but a chill to L.A.’s luxury market

One year ago, Los Angeles’ “mansion tax” took effect. It has either been a godsend or an absolute disaster, depending on who you ask. The transfer tax, formally known as Measure ULA, levies a 4% charge on all property sales above $5 million and a 5.5% charge on sales above $10 million, with proceeds funding affordable housing and homelessness initiatives. When L.A. voters approved the measure in November 2022, it quickly became the dominating storyline in L.A. real estate.

“This tax has not had the effect that was promised, and it’s time for everyone to put aside their egos and realize this was a mistake,” Oppenheim said. The drop-off comes from a few different factors. Many luxury homeowners moved to sell their properties last spring before the tax took effect, including celebrities such as Mark Wahlberg and Brad Pitt.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Rod Stewart's Beverly Hills mansion on market for $80 millionRod Stewart raised the asking price of his Beverly Hills mansion to $80 million more than six months after listing the three-acre Los Angeles estate with tennis courts.
Source: FoxBusiness - 🏆 458. / 53 Read more »