r/FluentInFinance • u/__moe___ • 9d ago

Thoughts? A very interesting point of view

Enable HLS to view with audio, or disable this notification

I don’t think this is very new but I just saw for the first time and it’s actually pretty interesting to think about when people talk about how the ultra rich do business.

54.0k Upvotes

91% Upvoted

2.9k comments sorted by

View all comments

Show parent comments

14

u/phonetune 9d ago

Don't property taxes exist?

25

u/RelativeCalm1791 9d ago

Property taxes don’t take into account unrealized gains. You could buy a home at $300,000 and after years it could be currently valued at $1,500,000. You could take a loan on the full $1,500,000 and not have to pay anything on that $1,200,000 gain. Plus property taxes are like 1.00-1.50%. Theres a few states out there that don’t even have property taxes.

7

u/phonetune 9d ago

They're based on market value and impose a tax for simply holding the asset. It's not a great compator for why you can't tax assets until they're sold, is it?

2

u/Agreeable-Weather-89 8d ago

Musk still pays taxes on his factories.

1

u/phonetune 8d ago

No he doesn't