Hello Oregon! The Garner Group and its individual agents and staff members encourage you to vote Yes on Measure 79 this November. The measure would prohibit state and local governments in Oregon from imposing real estate transfer taxes.
This is one of those ballot issues where Yes means No. Vote Yes for No Additional Taxes.
A real estate transfer tax is a sales tax on any transfer of ownership. Oregon law currently prohibits city or county governments, districts or other political subdivisions from imposing such a tax (except for Washington County, where an 0.1% tax is grandfathered in). This could be changed easily by a vote of the legislature. That is why Measure 79, an amendment to the state constitution, is so important.
As state and local budgets tighten, officials look for new sources of revenue. Legislation to reverse the current prohibition has been introduced in every regular session of the Oregon legislature since 2001. The city of Portland has listed repeal as part of its legislative agenda for 2013.
In other jurisdictions, taxes on agricultural, commercial and residential transactions typically range from 0.1% to 4.0% of the sales price. A county transfer tax of 1.0% and a city tax of 0.5% on the sale of a $200,000 home would add $3,000 to the purchase price, irrespective of profit or loss on the sale.
This is a cost burden, added to system development fees and property taxes, that could price prospective home buyers out of the market. The ripple would extend to builders, subcontractors and suppliers. This could suppress the modest but steady recovery in home building we are currently experiencing here in Bend and elsewhere in the state.
Measure 79 has been endorsed by a number of chambers of commerce and business organizations including the Oregon Assn. of Realtors, Oregon Home Builders Assn. and Oregon Farm Bureau. For more information click here: http://www.yesonmeasure79.com/