I disagree. This is the good part of capitalism. In an ideal world, a custom-designed housing unit should be achievable by anyone in the upper middle class. The combined property tax rate in Austin is around 1.8%-2.5% (according to https://lrgrealty.com/lrg-blog/property-taxes-in-austin-tx/), which is decently high and supports the community. ChatGPT says that they paid $52,142 in property taxes for 2025 on an assessed value of $3M.
In my opinion, the only immoral part of this is the “million dollars in profit” on the house in Palo Alto that he left which the author himself called out as ridiculous. This unearned increment is thanks to Palo Alto’s exclusionary zoning and Proposition 13’s low property taxes (around 1.25% at acquisition, but much lower for long-term investors). ChatGPT says that the author paid $11k/year and the new owner now pays $28k/year for the Palo Alto house now assessed at $2.3M.
I disagree. This is the good part of capitalism. In an ideal world, a custom-designed housing unit should be achievable by anyone in the upper middle class. The combined property tax rate in Austin is around 1.8%-2.5% (according to https://lrgrealty.com/lrg-blog/property-taxes-in-austin-tx/), which is decently high and supports the community. ChatGPT says that they paid $52,142 in property taxes for 2025 on an assessed value of $3M.
In my opinion, the only immoral part of this is the “million dollars in profit” on the house in Palo Alto that he left which the author himself called out as ridiculous. This unearned increment is thanks to Palo Alto’s exclusionary zoning and Proposition 13’s low property taxes (around 1.25% at acquisition, but much lower for long-term investors). ChatGPT says that the author paid $11k/year and the new owner now pays $28k/year for the Palo Alto house now assessed at $2.3M.