Efforts are underway to get a new real estate tax measure before L.A. voters in next year’s election. According to the L.A. Times, a coalition of housing advocates, labor unions and activists are collecting signatures to advance the measure—United to House L.A.—that would add a new tax to major real estate deals in hopes of diverting money to build more housing for those experiencing homelessness.
The measure would add a 4 percent tax on property sales above $5 million. For sales above $10 million, the tax would increase to 5.5 percent.
And in a city that regularly sees real estate deals above $5 million, the tax could produce a large pot of funds to be used to address the local housing crisis. The coalition behind the measure says had the tax been in place, $800 million could have been generated between March 2019 -March 2020.
A recent countywide L.A. Times poll found deep frustration over widespread, visible homelessness in Los Angeles. Those voters surveyed showed some willingness to be taxed again to help address the housing crisis.