Yeah, that's what I'm considering, and yes, it does need to go out the door. People tend to not sell their houses around here, and when they do, they keep it in their family either by sale or by inheritence. We have people paying 1% of $100,000 on houses valued at over a million here (that's one-tenth of one percent), and it isn't a few isolated cases. It's common. The problem is not the 1% property tax *rate*. We should have a low rate because of higher property values. The problem is that it's locked in forever. And BTW, it foolishly applies to commerical property as well. If a business operates on a property and wants to sell out, the buyer will take over the business entity and the property with it so that there is no change in ownership. It's ludicrous.
The trouble is our tax structure. We are a little high-average on sales and income taxes, and very low on property taxes. In a typical recession, sales and income tax revenues go to hell, but property taxes will tend to remain more stable. That's why our state budget gets creamed in recessions even though we hardly have increased it in 13 years.
- wolf