March 30, 2011

COULD DECLINING HOUSE PRICES spark the next taxpayer rebellion? “Something remarkable happened to property taxes in the U.S. while housing lost 31% of its value from 2006 to 2009: they went up by $100 billion (27%). . . . So though U.S. housing continues losing value–U.S. home prices declined in January, continuing a downward trend that began in August, with average U.S. home prices retreating to summer 2003 levels, according to the S&P Case-Shiller home-price indexes–property tax revenues continue their inexorable rise. . . . As their properties continue sliding in value, devastating their net worth, do you reckon the average homeowner might start resenting the rapid rise of the taxes they pay for the privilege of owning real estate?”