Cases of Point of Sale

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The term”purpose of sale,” since it pertains to real estate, describes rules enforced, or taxes or assessments imposed, on land in the time that it’s sold. It’s a frequently debated approach as it puts on pick properties a burden meant to be shared among several properties. There are numerous examples that illustrate how purpose of purchase functions.

Sausalito, California

Before they can sell their houses, homeowners in Sausalito, California, have to inspect the sewer laterals, which are the pipes that connect their houses to community sewer systems. The homeowners should make them if repairs are needed. The ordinance is designed to protect groundwater from pollutants, however detractors complain that it does so inefficiently. They note that in the sale rate of Sausalito houses, it would take almost half a century before the laterals in most homes were inspected. Additionally, they say, the point-of-sale system puts the burden rather than on town, where they think it belongs.

South Carolina

The state legislature in South Carolina believed a bill that would have shifted the assessments of investment properties and second homes, which are taxed at a higher rate than residential properties, from a sale-price basis to one based on appraised value. Oftentimes, the evaluated values were lower compared to sale prices. Had the laws passed, this point-of-sale scheme may have bolstered investment by making it cheaper for buyers to purchase commercial property; but reduced property tax revenue would have shifted the tax burden from commercial entities to homeowners.

Wright County, Minnesota

In Wright County, Minnesota, no land with a home or other building needed to have a septic system might be marketed unless a sewage treatment program builder prepares a certificate indicating that the sewage system complies with all regulations.

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