Self-help housing

From the 2024 DOR Tax Exemption Study

82.45.010(3)(u) - Self-help housing Description The sale of self-help housing by an affordable homeownership facilitator to a low- income household is not subject to state or local real estate excise tax. Purpose Encourage the continued development of self-help housing. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.017 $0.020 $0.021 $0.025 Local Taxes $0.008 $0.009 $0.011 $0.013 Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.017 $0.021 $0.025 Local Taxes $0.000 $0.008 $0.011 $0.013 Assumptions - This repeal takes effect July 1, 2024, and impacts 11 months of collections in fiscal year 2025. - Growth rate mirrors the REET growth rate reflected in the Economic and Revenue Forecast Council's March 2023 forecast. - The department electronically receives transaction-level REET data from 36 counties. Only three counties reported these transactions so there is no estimated impact for the three counties not reporting REET data electronically. - Property sales price growth mirrors the five-year compound annual growth for ex