new residence tax

[alloo66]

Originally Posted by jHolman91

Wow. I've never heard of a city taxing new residents before, People get taxed enough as it is yet you think they should get taxed even more? Sorry but that's a really stupid idea and potentially slippery slope to go down. Here's a better idea, how about Denver does something like raise property taxes, Starts building more housing developments instead of apartments or better yet tries to the media to start adding the cons of Denver in its articles as well as its pros that way people can decide if its a place thats worth considering. look at how people view California now after half a century, People still move in droves but not like they used to. Whys that, people started to get wise to how expensive it was and all the cons it had instead of its pros. Thing is now people are leaving California and moving to other more affordable cities and turning them into California.

Do people know there's other great cities other that Denver? I know Denver has always been very popular but now its more or less a trend than anything, same with Austin. Look at how people talk about Colorado Springs, They always complain about the Religious people down there and how that is the biggest turn off and would never consider that city based off that or at least thats what they act like. Colorado Springs isn't even that bad.

Be careful what you wish for. What goes up must come down. The market is cyclical. When it does go down then we will be wishing for the good ole days when we had jobs and a thriving economy.

[jHolman91]

Oh Denver will have a crash. I don't know when but it can't be to far off. Ive never seen a city have housing inflate as fast as it has, Denver was becoming popular long before 2012. The faster they rise the faster they fall.

[Timmyy]

Originally Posted by jHolman91

Oh Denver will have a crash. I don't know when but it can't be to far off. Ive never seen a city have housing inflate as fast as it has, Denver was becoming popular long before 2012. The faster they rise the faster they fall.

I don't think there will be a crash but it will slow down. I bet you are hoping it will crash.

[davidv]

The "tax" or fee or whatever you think should be on new developments.

Growth does not pay for itself, and new developments reap far more benefits than they contribute:
- new developments do not pay for new schools, the entire district ends up borrowing money to construct. Maybe create a system where the bonds are paid off by new neighborhoods or mostly by new neighborhoods.

- Road extensions and road widening is the same. The new construction should be paid for by those who choose to move out to the edges and commute in.

- Increase water tap fees and sewer fees for new projects.

- Increase utility fees for new projects.

When a developer builds a 2,500 home subdivision, not only do the people in established subdivisions have to pay to help build the infrastructure, those people are going to put more pressure on the streets in my area and generally degrade my quality of life. Making them pay a 5% (for example) surcharge on a new house to offset their impact on the area already built up is not necessarily a bad idea.

[Mike from back east]

IIRC there are impact fees that developers do pay on a per household basis, so I googled and found this info:

Source is here, for state by state list of impact fees.
Colorado services funded with impact fees: Schools, roads, water and sewer, solid waste, parks, police and fire, preservation of open space, libraries, inclusionary housing
Per unit fee: $30,000-$40,000
Home rule/Dillon rule state: Home rule
State-enabling legislation: Yes
Challenges: None involving state or local HBA offices.

This amounts to a new residence tax for newcomers to the state.

Otherwise it's my opinion that taxing new arrivals from out of state is simply a bizarre twisted idea.

[davidv]

Originally Posted by Mike from back east

IIRC there are impact fees that developers do pay on a per household basis, so I googled and found this info:

Source is here, for state by state list of impact fees.
Colorado services funded with impact fees: Schools, roads, water and sewer, solid waste, parks, police and fire, preservation of open space, libraries, inclusionary housing
Per unit fee: $30,000-$40,000
Home rule/Dillon rule state: Home rule
State-enabling legislation: Yes
Challenges: None involving state or local HBA offices.

This amounts to a new residence tax for newcomers to the state.

Otherwise it's my opinion that taxing new arrivals from out of state is simply a bizarre twisted idea.

Problem is that new developments cost $1.65 for every $1.00 generated in taxes and fees. Source.

Impact fees do not cover the cost of new development, and TABOR makes it worse.

[Mike from back east]

Originally Posted by davidv

Problem is that new developments cost $1.65 for every $1.00 generated in taxes and fees. Source.

Impact fees do not cover the cost of new development, and TABOR makes it worse.

Thank you. The question remains for me to wonder if those impact fees of $30K to $40k per unit cover some or all of that unpaid $0.65 your post refers to. If we raise impact fees to $100k per unit that will raise the price of new homes to much higher levels and price out a lot of people. It may also raise the price of existing homes since they'd have pricing power up the higher price of the homes that have to pay a $100k impact fee. There's no solution to this that will please everyone. There's a whole field of effort on the cost of building out the infrastructures to accommodate new development, especially in outer suburbs where the costs per mile of electric, gas, water and sewer lines are usually quite high compared to costs for close in development.

[emm74]

Stapleton, where I live, pays increased taxes to cover the costs of infrastructure development.

https://frontporchstapleton.com/arti...ton-taxes-pay/

There is obviously no tax on new to Denver/Colorado residents (which I'm pretty sure would be unconstitutional anyway) but this does apply to all owners in this development in addition to fees paid by the developers and builders and which were baked into the purchase price.

I'm from Boston and before that, NY, so with an East Coast mentality, the property taxes still seem low enough to me. I feel I get reasonable services for the taxes I pay, including the excellent schools in this area which is the main reason I moved here - but from elsewhere in Denver, which is where I suspect the majority of new residents come from.

[jHolman91]

Originally Posted by Timmyy

I don't think there will be a crash but it will slow down. I bet you are hoping it will crash.

No I hope it doesn't. that means jobs will disappear and crime will explode, and Denver probably wont recover fully from it. The reality is that Denver blew up very unnaturally in the last 3 1/2 years to rivaling Boston, San Diego, LA for comparison in making a living, I've never seen that in that short of time which leads me to think The cost of living and very short housing supply will eventually cause the bottom to fall out. what I think will do the damage is the over inflated house prices which when the crash happens the housing market will cause a mass exodus of people.

If Denver builds more Housing thats affordable then the crash may be avoided completely,but Denver doesn't seem to want to be doing that along with a wage that matches the inflation.