Would you agree property taxes have a

major impact on Realtors?

• Realtors lose commissions when potential buyers don’t buy due

to current high property taxes, or the threat of increases they may not be

able to afford in the future.

• Realtors lose commissions when the market is depressed because of

population out-migration.

• Realtors lose larger commissions when people must buy a lesser value house

because they will have a sizable property tax escrow payment.

• Realtors lose commissions on even lesser value homes that need repairs.

Buyers know they will be clobbered by higher property taxes if they make

improvements. So they are reluctant to buy.

• Realtors are hurt by an aging population and the loss of young people

starting families who relocate to other states and buy homes there.

• Realtors are hurt when speculators buy foreclosed or sheriff-sold homes and

fail to maintain the property—diminishing the value of surrounding

properties—and causing blight.

Eighty-nine thousand (89,000) people have signed S.T.O.P. petitions calling for

the total abolishment of all property taxes on homesteads—primary residences-- in

Pennsylvania. These signatures were secured totally by volunteers without any

formal organization.

Abolishment of all property taxes on the homesteads would give a tremendous

boost to the real estate industry, banking, home remodeling and construction, the

legal profession, landscaping and related businesses. It would create thousands of

jobs. And abolishment would have people all over the country talking favorably

about Pennsylvania again as a place to stay; and a place to move to.

Negative articles about Pennsylvania being a tax hell (mostly due to property

taxes) have been published in Kiplinger’s Report, Where To Retire Magazine and

others. Imagine the positive story we would have to tell if Pennsylvania became

America’s Only Home Free State—where once you paid your real estate transfer

tax, you could never lose your home to taxes again. For the first time, with the

payoff of your mortgage, your home would truly be yours.

Property taxes are the most hated tax in Pennsylvania by far. A recent university

study asked a sampling of Pennsylvanians which tax they disliked the most. Fifty-

two percent (52%) picked the Real Estate tax as the one they hated the most; in

second place was the Federal Income Tax with just 16% of the respondents; and

third was the Social Security tax with 12%.

Unlike other proposals that had no replacement funding, we have offered the

suggestions found on the back of the brochure. We are writing to encourage the

Realtors Association of Metropolitan Pittsburgh to examine our proposal—as

found on the enclosed brochure. Should you agree that his proposal would be

good for our state and region, please lobby for its enactment in Harrisburg.

In Pennsylvania: We don’t tax food for home consumption; we don’t tax basic

clothing; And we don’t tax medication. Why are we taxing shelter? Isn’t that a

basic need, too? On average, in Allegheny County alone, 12 properties are

sold at sheriff-sales every working day of the year. Help us put a stop to this

horrible practice and let people who have paid taxes for many years keep their

homes.

For additional information, please visit www.grandoldusa.com

Sincerely,

Bob Logue, S.T.O.P.