[LikeBeans]

Yeah. Unfortunately the real market value grew so fast that when the assessed value catches up over the next few years the property tax is going to take a nice chunk of my net income.

Honestly, this is not a hardship but a nice problem to have. I grew up chronically poor and I feel fortunate and grateful that we have a comfortable home that is ours with equity while a lot of people have housing insecurity.

I agree on the windfall part but selling to get that money is not that simple in the current real estate market and political climate. ie you got to live somewhere... and everywhere you desire is expensive.

[aprilthird2021]

If you own the house outright then how can the increased value force you to sell? You don't have a mortgage, and your property tax can't be that much more than a normal rent in the area. Can it?

[LikeBeans]

Because of the rising tax rate relative to income. Ours is projected to increase to about 20% of our net income. That's why.

So yeah nice on paper that the house is worth a lot more than we bought it... but that value matters if we sell and move. There is a lot more to that decision than just the property tax, however it sort of putting a time limit to it.

[aprilthird2021]

Thanks for clarifying. I guess I thought 20% of net income is not that high for housing costs...