Why Voters Should Vote Yes on Proposition 100

PHOENIX, Arizona - The Yes on 100- Protect Our Homes Initiative will constitutionally shield Arizona homes from the damaging effects of a real estate transfer tax. By voting yes on Proposition 100, Arizonans are approving a citizens initiative that will amend the Arizona Constitution and provide the best protection they can have against a double tax on their homes. A home is often the most important asset a person has in life. Whether they are a first-time homebuyer, moving to a new home to meet the needs of a growing family or transferring their home into a legal trust, they have a right to protect the investment they made in their home. Voting yes on the Proposition 100 will stop the damaging effects of a real estate transfer tax before it can start. What is a real estate transfer tax? A real estate transfer tax is a state or local government imposed tax that is collected when a person sells or transfers their home, land or commercial real estate. It is the equivalent of a sales tax on the property, usually at the time of sale, purchase or transfer. Too often this form of taxation is charged to balance a governments bloated budget caused by overspending. Once this type of tax is put in place, and no matter how low the tax rate is in the beginning it always ends up being raised. Currently, there are 35 states that have some form of a real estate transfer tax. With our current slow economy and budget crisis, it wont be long before cities, counties and the state government start looking to tax homes and properties for extra revenue. Proposition 100- The Protect Our Homes Initiative Will Provide a Defense Against These Harmful Impacts: Double Taxation: Governments already collect taxes on your property based on its value. This new tax would unfairly impose a second tax to impact homes and properties. Loss of Equity: Since the tax would be assessed against the total value including the amount people owe on their mortgages, the overall equity earned by the seller would be decreased. Damage to the Real Estate Market: In this housing market, people already are struggling to sell their homes and the increased costs would only make it more difficult. Punishment of Homeowners: People who move from one house to another should not be punished by a tax while others who choose not to move would not be taxed. This is discriminatory and harms access to the American Dream of homeownership. Unfair Impact on Low-Income Families: A real estate transfer tax would impose a higher tax burden on lower income families that typically spend a larger percentage of their income on their homes. A yes vote on Proposition 100- The Protect Our Homes Initiative will stop real estate transfer taxes before it can start.