Morning Headlines: Should Philly Look Into a ‘Flip Tax’ to Combat Speculation?
Photo credit: Jeff Fusco
In an effort to raise more money for the Philadelphia Housing Trust Fund and combat land speculation, Pennsylvania Coalition for Affordable Communities (PCAC) presented an interesting idea that could have widespread implications on the real estate and housing market.
According to PlanPhilly, the group is calling for an increase of the Realty Transfer Tax from 4% by an additional 1.5% for any property selling more than once within 24 months– a ‘flip tax’. PCAC calculated that the bump would have raised and extra $12 million for the Housing Trust Fund in 2013, thus, doubling their budget for programs that help low income home owners repair their homes, support affordable housing development, and prevent homelessness.
While ending widespread speculation and creating economically diverse neighborhoods are good things, it’s possible that tax hike such as this could stunt smaller scale real estate investment, hinder first time homebuyers or even sellers who aren’t speculators who are essentially penalized by the tax. Do you think a ‘flip tax’ is the way to go or should Philadelphia look towards more creative ways to combat speculation?
Pac-Man on the Streets of Philly!
It’s true! Google’s fun April Fools gift has mashed their amazing maps with everyone’s favorite yellow pie-shaped muncher.
Pac-Man does the Parkway.
More Philly Headlines:
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- Italian Market celebrates 100 years with yearlong celebrations [Passyunk Post]
- Petition in support of opening two pre-schools at 47th and Kingsessing (updated) [West Philly Local]
- Firm to buy two Center City buildings in a $200M deal [Philadelphia Business Journal]
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