DPP December 1, 2022
Measure ULA and Measure GS will have substantial financial impacts on sellers' profits in Los Angeles and Santa Monica after April 1st & March 1st, 2023.
New Tax Laws
Measure ULA: City of Los Angeles, which will take effect on April 1st, 2023 states that properties sold at $5 million or above will incur an additional 4% tax, and properties sold at $10 million or above will be taxed an additional 5.5%. On a $5 million sale, the transfer tax will increase from $28,000 to $228,000 due at the close of the sale and deducted by escrow regardless if the seller is taking a loss on the property or not. This is for both residential and commercial real estate within the city of LA.
Measure GS: City of Santa Monica, which will take effect on March 1st, 2023 states that properties sold at $8 million or above will be taxed 5.6%.
If you are considering selling your home in Los Angeles or Santa Monica, closing escrow prior to April 1st, 2023 or March 1st, 2023 are critical dates to consider.
Stay up to date on the latest real estate trends.
Preserving Heritage Through Meticulous Craftsmanship and Modern Living
In Palm Springs, Architecture Meets Timeless Innovation