[jmclnx]

>Communities that are deemed too dangerous to insure face the risk of falling property values, which means less tax revenue

Now that is the funnest quote I have seen in 2024. I would love to know what government will lower your property tax if your house value falls ?

I have never seen that happen ever nor do I know anyone who has seen that happen over the past 40 years.

[dylan604]

It is tradition to contest the annual re-evaluations of the assessment of your home as that's exactly how your property taxes are based. The only time it is good for an owner's property's assessment to go up is when they are wanting to sell it. The rest of the time, they are constantly fighting to keep it low specifically because of taxes.

You must live in a state without property taxes, or you just have no idea how they work. Either way, this is exactly how property taxes work.

[Kon-Peki]

The assessed value of your home determines your share of the total tax to be collected.

If your assessed value goes down but all the rest stay the same, yes, your tax bill will go down. But if all assessed values go down by the same percentage, no your tax bill will not go down.

And this is the kicker: if all the houses close to the river or the seashore have their assessed value go down because of the flooding risk while all the other houses stay the same, their tax bills go up. So they really have a big incentive to not let that happen.

[ellisv]

In my state, homes are assessed using true cash value (TCV) when the property is sold and then the taxable value is adjusted annually. If the property values within a neighborhood decrease (e.g. due to uninsurability) then that would be reflected in the taxable value.

Take a look at Detroit and surrounding area property values in the late 1980s and 2008-2012.

[aaronblohowiak]

What state are you in? This is quite common in many parts of the country..

[jmclnx]

I do not want to ID the state, but I live above the mason-dixon line and east of PA.

[zdragnar]

The quote is tax revenue, not rates.

With such a significant drop in market value (can't get a mortgage on uninsurable property) the properties will just be abandoned, and twice as fast if the taxes aren't reassessed downward.

[kylebenzle]

It is very common for a home owner to have their home value decrease.

[ellisv]

Real estate is complicated but physical houses are depreciating assets - this is how rental properties are treated by landlords. Regular maintenance, land value, and market value usually offsets the depreciation.

[lightedman]

"I would love to know what government will lower your property tax if your house value falls ?"

Plano, TX.

[dylan604]

Why did you used all of those extra letters? TX would have sufficed