California Realtors welcomed California Governor Gavin Newsom's state budget briefing last week. Jeanne Radsick, California Association of Realtors president, said C.A.R. is encouraged by the governor's 2020-21 budget proposal and its focus on the state's housing supply and affordability crisis.
"This budget recognizes the severity of the housing crisis and addresses the root cause - a lack of housing supply. We stand ready to work with the governor and Legislature in the coming weeks and months to advance policies that increase the housing supply," said Radsick in a statement.
"We are very encouraged that several of the policies included within the governor's 2020-21 budget coincide with a series of C.A.R.-sponsored legislation, such as efforts to streamline the development process and to increase housing production by limiting development fees."
"This legislation is our best opportunity in 2020 to make meaningful progress toward solving the housing supply and affordability crisis, and to renew the dream of homeownership for all Californians," added Radsick.
Radsick also thanked Newsom for his commitment to solving the state's housing crisis and for exploring the creation of a statewide housing agency focused on housing and homelessness, including his expressed support of C.A.R. co-sponsored SB 50. SB 50 encourages the development of mid-rise and multifamily housing construction around major transit hubs. The bill was stalled in the Senate Appropriations Committee last year. Housing advocates and C.A.R. remain committed to passing the bill in 2020.
Last week C.A.R. joined bill authors Sen. Wiener and Sen. Skinner, along with Oakland Mayor Libby Schaff, and housing advocates on the steps of Oakland City Hall to announce the amended SB 50. Lawmakers have until January 31 to pass bills introduced in 2019.
"If we're truly serious about increasing the supply of housing, SB 50 must be passed. A recent study found that SB 50's reforms could increase housing by 400 percent and increase affordable housing by 500 percent. Californians desperately need housing, and the time to act is now," said Radsick.
Last month, C.A.R. hailed the House passage of H.R. 5377, a bill that temporarily eliminates the cap on state and local tax (SALT) deductions for 2020 and 2021. The Restoring Tax Fairness for States and Localities Act would also increase the cap to $20,000 for married couples for 2019.
Silicon Valley Association of Realtors president Mary Kay Groth noted Silicon Valley has especially been hard hit by the housing shortage and many families have been impacted by the SALT cap. "Despite its booming economy, affordability coupled with low inventory continues to be one of the biggest challenges for people in Silicon Valley, and the tax benefits of homeownership for current homeowners and those looking to purchase a new home have been greatly reduced as a result of the $10,000 SALT cap. Silicon Valley Realtors are behind C.A.R. and want our legislators to know both at the state and federal level that we want real housing solutions that will advance the American dream of homeownership for all in 2020."
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
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For further information, please email or call the SILVAR office at (408) 200-0100.