Here’s what you should know about recent sales tax increases in our area.
Starting July 1, your local sales tax rate probably went up by more than 5%. Most people I mentioned this to in May and June were oblivious to it, but it’s a fact. The cities of Hayward, San Leandro, and Union City just went from 9.75 to 10.25, a 5.12% increase. In Castor Valley and San Lorenzo, it rose from 9.25 to 9.75, a 5.4% increase. It sounds so small, but that small increase means a 5% decrease in your dollar’s purchasing power.
Whether we like it or not, taxation is a way of life, and the government will only want more in the future, not less. From 2008 to 2013, we saw so many people needlessly lose their homes to foreclosure because they didn’t get advice and didn’t take the proper actions ahead of time. Many good people simply let things spiral out of control, and they’re still hurting financially to this day.
Unless something happens soon, we fear that these numbers will increase. Those of you with mortgages backed by the federal government who can show a financial hardship as a result of COVID-19 can probably defer your payments for at least six months upon request, then request another six months of relief after that.
There are other options currently in place, and new ones are coming—extended loan terms, adding missed payments to your loan balance, etc. Do your homework before you get behind on your payments if possible. If you’re already behind but you’re not sure what your next move should be, call us for a confidential conversation. Knowledge is power, and we’re glad to share our knowledge with you and help any way we can.
If you have any questions for us, don’t hesitate to reach out via phone or email. We look forward to hearing from you.