Chicago Could Take Hatchet To Real Estate Tax
Chicago homeowners who are in the mood to sell could be in store for a significant, unexpected, tax increase.
Last month, aldermen hiked Chicago's share of the real-estate transfer tax. The full amount would have been on the backs of home buyers, but today, aldermen could split the burden: buyers would pay $7.50 per thousand dollars in the sale price, while sellers would pay three dollars per thousand.
That's riled some Chicago home builders groups, including the Attainable Housing Coalition.
CEO Paul Colgan says if there's going to be a tax burden, it should be on buyers.
COLGAN: They can choose whether or not to pay this tax, by choosing whether or not to buy the property. But the seller, especially in this market where they may be forced to sell, has no choice.
One way or another, the forty-percent increase in Chicago's real-estate transfer tax will take effect April 1.
I'm Shawn Allee, Chicago Public Radio.