Field Guide to Impacts Of Property Taxes On Real Estate
(Updated June 2009)
Local governments depend upon property tax receipts to provide services and programs for area residents. Property taxes are also the levy most taxpayers love to hate the most, even though federal income taxes usually take a larger percentage of household income. This page offers articles, studies, and other information on the relationship between property taxes, government services, and property values. (D. Foligno, Project Specialist)
Property Tax Statistics
26% of cities raised 2005 property tax rates
$286-billion in property taxes was paid in 2002-03
40% believe the property tax is the least fair tax
12% of cities cut 2005 property tax rates
5% of property assessments are appealed
Source: Property Tax: A Vexing Issue On the Homestead, (Kiplinger's Personal Finance, Apr. 2006). Q
Property Taxes - News 
The dirty little secret about real estate taxes and how they work, (Real Estate Pro, May 9, 2009)
Paterson, lawmakers vow to address property taxes (CNY Central.com, May 7, 2009)
Just Cut Property Taxes! (Forbes, Mar. 5, 2009)
Calls grow to cap property taxes- Higher assessed values push up bills, sparking outcry as market prices drop (Wall Street Journal, Jan. 5, 2009)
States Move To Cut, Cap Property Taxes; As Home Values Decline, Many Will Have to Make Up Lost Revenue by Other Means (Wall Street Journal, June 11, 2008)
History of property taxes in the U.S., (EH.net Encyclopedia, Oct. 2002).
Impacts on Property Values
Lower taxes: Silver lining of falling home prices, (CNN Money, May 27, 2009)
Why Property Taxes Rise While Real Estate Falls, (Gotham Gazette, Apr. 2009)
Reassessing Market Value (National Real Estate Investor, Feb. 2009)
Property-tax collections climb as home prices fall, (USA Today, Dec. 5, 2008)
Fiscal policy and property values, (Nat. Center for Real Estate Research. Nov. 2006).
Connections between economic development and land taxation, (Lincoln Institute of Land Policy, Apr. 2006).
Remodeling's hidden cost: higher taxes, (CNN Money.com, Dec. 2003).
Property Tax Basics
Residential Property Tax Rates for Largest City in Each State, (Census Bureau, Dec. 10, 2008)
How do property taxes work? (Tax Policy Center, Oct. 9, 2008)
Local Property Taxes as a Percentage of Local Tax Revenue, (Tax Policy Center, July 25, 2008)
IRS property tax FAQs, (IRS.gov, 2006).
eBooks & Other Resources
Books, Videos, Research Reports & More
The resources below are available for loan through Information Central. Up to three books, tapes, CDs and/or DVDs can be borrowed for 30 days from the Library for a nominal fee of $10. Call Information Central at 800.874.6500 for assistance.
Can property taxes and development charges help shape metropolitan areas? The effect of development charges and property taxes on development, (Wharton Real Estate Review, Fall 2003).
A Guide to Property Taxes: An Overview, (Denver, CO: National Conference of State Legislatures, 2002). HJ 4120 N21g
The Homevoter Hypothesis: How Home Values Influence Local Government Taxation, School Finance, and Land-Use Policies, (Cambridge, MA: Harvard University Press, 2001). JS 391 F57
The Worst Tax? A History of the Property Tax in America, (Lawrence, KS: University Press of Kansas, 1996). HJ 4120 F57
Small Property Versus Big Government: Social Origins of the Property Tax Revolt, (Berkeley, CA: University of California Press, 1990). HJ 4120 L78
Field Guides & More
These Field Guides and other resources in the Virtual Library may also be of interest:
Field Guide to Real Estate Transfer Taxes
Field Guide to Development Impact Fees
Field Guide to Schools & the Homebuying Decision
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The inclusion of links on this Field Guide does not imply endorsement by the National Association of REALTORS®. NAR makes no representations about whether the content of any external sites which may be linked to this Field Guide complies with state or federal laws or regulations or with applicable NAR policies. These links are provided for your convenience only and you rely on them at your own risk.
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