Prop. 5 foes ignore gains in taxes, housing stock

Re: “The Nov. 6 ballot propositions explained” (Page A18, Oct. 28):

Opponents of Proposition 5 claim losses of billions, which schools and cities rely on. Owners will buy a more expensive home in a different county. It doesn’t create new housing.

That’s half true. An older couple sells a four-bedroom home for $1,100,000, it’s too big. After 40 years, their tax bill is $3,000. Not wanting to pay more than their home’s selling price, they buy a condo for $800,000. Yes on Prop. 5 allows them to carry their $3,000 taxes, a loss of $5,000 to the county of their purchase. A family buys their home at $1,100,000 and pays a tax bill of $11,000, a gain of $8,000 to the county.

So the county loses $5,000 but gains $8,000. Stay or leave, the county is ahead and a property is for sale, with $3,000 to the good.

Opponents see only lost income, ignoring any gain. Without it, the couple stays! — David Eisbach, San Jose