State Income Tax (live, equity, dollars)

[StealthRabbit]

I have little to no heat tolerance, anything over 85 degrees and I am in extreme pain and very ill. WA has alot of the climeate factors I need ti live a good quality of life. Alot of people say oh you wont like it because of the small town thing, no night life, bla bla bla. Well I live in northern LA county now in a small farming community. I love it,

For WA you will need to stay very close to the coast or on an island to keep such low temps. I would suggest Bellingham area and north, so you would have EZ access to B.C.

I would suggest southern Alaska, there are some really nice temperate areas, very rainy, but very pretty... and good sense of community. (income & sales tax free too!!). I don't think Juneau gets much snow, Ketchikan or Prince of Wales Island either. (check C-D profiles of towns for stats)

[tylersminerals]

You know I hace thought about Alaska too, my hubby looked at me like I was nuts lol. I think WA is as far north as I can get him lol. I do like the thought of being that much closer to Alaska and Canada for that matter. Lake Tahoe is about as close as I have gotten as an adult.

Yeah, I figured somewhere close to the coast would be a good fit, especially the because I love the ocean lol. I was looking at real estate and the prices of the home close to the ocean were so much cheaper than here. I told my hubby in a couple years we even be able to afford a house with in walking distance to the beach, could you imagine. Plus I am a storm freak so anywhere that has them I am in. When there is a storm brewing I get very excited. The smell in the air the dark clouds the big waves and the crack of thunder. We were in Indiana once a couple years back visiting my grannie, and man big we get a show. Tornado sirens sounding off and the heavy rain was litterally vertical, as I stepped out on the porch to see, because I am a nut and just had to feel that rain, the door flew off and I ended up in the neighbors yard, what a ride lol. I had a couple bruises but that was about it. It happened so quick that I dont really remember the whole flying accross the yard part.Luckily the neighbors didnot have a fence and grandmas car was in the garage. It was a small one and didnt last very long b4 it disappated, so luckily there was minimal damage to the area and no loss of life. Needless to say I probably wouldnt go out on the porch if I heard a tornado siren again lol. But I dont have to worry about tornandos in WA, do I lol. I think I should have been one of those storm chasers lol. Anyway, your are the second person to mention Bellinham to me. I am going to have to look into that area. Thanks you very much StealthRabbit, I am very greatful for your help!

[ukiyo-e]

Just a quick comment about the total tax burden...I think it must depend on what county you're in. The property taxes on the home I'm having built in Port Townsend will be 35% of what they are on my current home in California, and the new house is about 75% as large and expensive. This will save me several thousand dollars a year. So adding that savings to the lack of state income tax, I'm coming out quite far ahead by moving.

Of course, if you were smart enough to be born earlier than I was, and bought a home in CA before 1978, thanks to Prop 13 you're paying peanuts in property taxes compared to us dumb younger people and transplants. This is why I find all those "tax burden" estimations sketchy. It really depends on your individual situation, esp. in CA.

[Ultrarunner]

Originally Posted by angelbug

Just a quick comment about the total tax burden...I think it must depend on what county you're in. The property taxes on the home I'm having built in Port Townsend will be 35% of what they are on my current home in California, and the new house is about 75% as large and expensive. This will save me several thousand dollars a year. So adding that savings to the lack of state income tax, I'm coming out quite far ahead by moving.

Of course, if you were smart enough to be born earlier than I was, and bought a home in CA before 1978, thanks to Prop 13 you're paying peanuts in property taxes compared to us dumb younger people and transplants. This is why I find all those "tax burden" estimations sketchy. It really depends on your individual situation, esp. in CA.

Washington had it's own version of Prop 13... it is called I747.

Unfortunately, the WA Supreme Court threw it out writing the voters were confused about what they were voting for... the next year taxes sky-rocketed for many... some saw assessments increase 80% in one year.

The beauty of Prop 13 is it applies equally to all property owners... the United States Supreme Court upheld Prop 13 when it ruled Prop 13 did not violate the equal protection clause of the constitution...

If you would have stayed and bought your home in CA... you would be one of those looking back in 30 years and paying peanuts too

[StealthRabbit]

Originally Posted by angelbug

Just a quick comment about the total tax burden...I think it must depend on what county you're in. The property taxes on the home I'm having built in Port Townsend will be 35% of what they are on my current home in California, ...I'm coming out quite far ahead by moving.

...

Do be advised that 'no-income-tax' has decreasing benefit as you age / get into retirement. AND ADD the fact that WA State has few sources of revenue apart from Property Tax and Business Taxes. Then HANG ON

My WA property taxes went from $800 / yr to $8000 per yr in 10 yrs. One year they doubled (From $4000 to $8000). That is a bit tough to 'adjust for' since it was concurrent with losing my job (income tax benefit of WA = ZERO...), so BE PREPARED ! . Life Happens

Total Tax burden seems to be less in states that are run by conservatives and have natural resources (AK, SD, WY) or states that are run by conservatives and have a balanced source of revenue (AZ, CO, NM).

With WA (Chris) trying to emulate CA (Arnold) in every way (excluding Prop 13 )... the 'writing is on the wall'. But I can't leave at the moment, seems no one wants a house with $12,000/yr property taxes (Surely not me... BTW, I have less than $150k in the land and house, OH how I wish the assessor would write me a check for his proclaimed value...)

[Ultrarunner]

Originally Posted by StealthRabbit

OH how I wish the assessor would write me a check for his proclaimed value...)

I said the same thing to the Assessor and she laughed...

In order for me to prove my point I would literally have to sell my home at fair market value and then the Assessor may or may not use the sales price

It really is stacked against the home owner and be advised that you may have to contest or appeal every year if you disagree with the value... it's a game of attrition... most people just give up after a while...

Thank God... CA home owners no longer have to play these games with the passage of Prop 13 thirty years ago...

Kind of sad when the only way to prove your point is to sell your home... kind of winning the battle only to loose the war.

[StealthRabbit]

Originally Posted by Ultrarunner

...
In order for me to prove my point I would literally have to sell my home at fair market value and then the Assessor may or may not use the sales price

That doesn't work - they just say your sale was 'below market', it has happened to several friends who bought low and expected assessment to = sales price - no-go. Assessment = what the assessor finds with their FM eval.

It really is stacked against the home owner and be advised that you may have to contest or appeal every year if you disagree with the value... it's a game of attrition... most people just give up after a while.

I fought several times, they drop value by a few thousand and you save a hundred bucks for about 3 weeks of work, the next year they gouge you for your disobedience. I researched 40 neighbors and found that my subsequent assessment went up ~ 17-20% after I fought, and neighbors averaged 3-5%. (Except the few that fought, theirs did as mine + 17-20% following a fight.)

So the moral of the story... be submissive to your non-elected / non-representative government.

[noexcuseforignorance]

Originally Posted by pw72

Perhaps, but only if you own property, and tend to make a lot of big-ticket purchases. If you are young, renting, and/or don't make those purchases, you come out ahead in WA.

Very true. Although renters pay taxes via their rent. The people who pay the most taxes here are the ones who buy a lot of new cars, new clothes, etc. Those who drive a car into the ground and craigslist a lot of things don't pay a lot of taxes. Also, sales taxes are tax deductible now on your federal return.

The people who spend $50k on a new car every few years pay a lot of taxes. It's an incentive to be frugal. Given the income level here, people don't drive cars that impressive anyways. That's mostly a function of how much everyone spends on real estate mostly, but taxes probably come into it too.

My WA property taxes went from $800 / yr to $8000 per yr in 10 yrs. One year they doubled (From $4000 to $8000). That is a bit tough to 'adjust for' since it was concurrent with losing my job (income tax benefit of WA = ZERO...), so BE PREPARED ! . Life Happens

You forgot to note how much your house went up in value during this time. Your house very well could have not been re-assessed for a long time and the $800 might have been below value. It's not as if you bought a small house. $8 per year even at more than the highest levy in the city is $700k. No doubt you made several hundred thousand dollars in equity. You left that out. That keeps you going for a long time and you can easily go without owning a house.

[StealthRabbit]

Originally Posted by noexcuseforignorance

...you made several hundred thousand dollars in equity. You left that out. ...

Really ??? Where is this equity? (maybe I'm missing something?) I could not currently sell my home for 50% of its assessed value, but the assessor still gets the glass office and walnut desk, and with lien my property and TAKE IT in 24 months if I don't (can't) pay. Living under the local bridge is looking pretty good, but is getting a bit crowded.

I just need a roof over my head, I never consider a personal residence an asset, it is a liability unless you happen to be a speculator. For my $33/day tax bill Motel 6 does the laundry and pays the electricity (and sometimes offers breakfast).

[Ultrarunner]

Equity is only someone opinion of value... we all have opinions... unfortunately the tax Assessor's opinion is the only one that matters

You need look no further than a bonafide sale that isn't acceptable to the Assessor to establish value to know the system is stacked against the sitting duck home-owner.