Episode

Supreme Court Blesses a Home-Equity Trap + The 5-State "Exit Tax" Toll Booths Spreading Fast

Podcast
Epic Real Estate Investing
Published
Jul 13, 2026
Duration seconds
1979
Processing state
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https://eprei.libsyn.com/supreme-court-blesses-a-home-equity-trap-the-5-state-exit-tax-toll-booths-spreading-fast
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Markdown
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Summary

Matt argues states are building "toll booths" to capture homeowner equity on the way out, often under softer names, and walks through five examples: New Jersey's 10.75% gain/2% sale-price withholding on nonresident home sales; Massachusetts' 4% "Fair Share" surtax over $1M that can hit one-time home-sale gains and has raised $5.7B since 2022; Washington's newly signed 9.9% tax over $1M starting 2028 that he says can reach former residents; California's proposed 2026 Billionaire Tax Act with a retroactive measurement date and constitutional changes enabling future wealth taxes; and a New York City proposal to cut the estate-tax exemption to $750k and raise the top rate to 50%. He also covers a unanimous Supreme Court ruling involving a Michigan tax foreclosure where a $194,400 home sold for $76,008 over a $2,242 bill, with compensation tied to auction price, and urges viewers to verify property taxes are paid and review assessed value.