Property values and tax rates are at all time highs yet ISDs are complaining about being broke and our teachers make next to nothing. Where does it all go?

G. hirsutum Ag said:

---

Property values and tax rates are at all time highs yet ISDs are complaining about being broke and our teachers make next to nothing. Where does it all go?

---

Pet projects and administrators

scoodogg said:

---

Mine

---

Did you do a large improvement in '24? If not, surely you're going to fight a 1 year 60% increase?

I strongly suspect valuations for tax assessment have grossly exceeded market values in many areas and I don't think that is really lawful or sustainable. Granted market value can change rapidly but it seems like as information technology improves,tax assessment should also react more quickly and accurately.

scoodogg said:

---

Mine

---

Now what are your actual end of year assessed tax rates? What was your final end of year tax bill due?

Rising appraisals tend to lower the final declared tax rates unless significant new bonds have been passed.

Presuming you live in Texas it's going to build more schools

If property values are going up that quickly a couple of elementary schools are being built and your high school has probably gone up 2 classifications from 3A to 5A

Insurance rates will cause some decrease in pricing. Renting has to be better in the long run.

Hell I am about to self insure my house. Land value is high, so if my house burned down, I would still break even (excluding annual maint /upkeep
)

Burdizzo said:

---

torrid said:

---

tamufan said:

---

The first words on this post title are Property Taxes. Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value. Property tax rates have been declining. These have countervailing impacts on your tax bill. I am sure almost all have experienced an increase in property taxes, but that increase is much less than the increase in appraised values. Moreover, the overall price level or Consumer Price Index has increased over time, and incomes have generally increased a bit more than the CPI. (Even those receiving Social Security checks see increases as the CPI increases.)

Maybe we should discuss how much our property tax bills have increased over and above the increase in the CPI.

---

Depends upon the elected officials responsible for setting the tax rate. If their constituency consists mostly of low income renters who think "we don't pay property tax", they look upon increased property values as a form of wealth redistribution. They have no incentive to lower the rate even if the appraisals come in sky high.

---

In a roundabout way this is my complaint. I understand my appraisal has gone up and the tax burden has roughly gone up proportional, give or take a few pennies per thousand. That is not what bothers me. My complaint is that while twice as much money has left my pocket, I don't see twice as many police officers patrolling my neighborhood, twice as much park space, another fire station, etc. What the hell are they doing with twice the money?

---

Spending it on people other than you. You are not a constituent, you are a revenue source.

Have you figured out how to manage the liability problem - somebody injured themselves while in your property - of course not having people over and putting it in an LLC might be the solution

State Farm recently bought me a part of a new roof and I am thinking about going that

Sq 17 said:

---

Presuming you live in Texas it's going to build more schools

If property values are going up that quickly a couple of elementary schools are being built and your high school has probably gone up 2 classifications from 3A to 5A

---

Shouldn't the people moving into the district be carrying a higher proportion of that burden? When I moved into the district my kids were attending school in a building that is fifty years old. Utilities and cities get to charge impact fees for new development. Why can't school districts?

TA-OP said:

---

tamufan said:

---

Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value.

---

Because, whether they like it or not, rightists also make decisions based on "feels," This math contradicts their narrative. Lowering tax rates has "felt" like increasing appraisal values. And, therefore, we're still seeing us pay more property taxes year after year. But, it's what rightist Texans voted for so they get to own it.

---

Dumb take is dumb.

Sure. They rates may have gone down. But the appraised value is hitting its cap every year. I paid 350k for my house in 2017. Harris county now claims it's worth 800. They tax me like it's 600. My next door neighbor just sold for 470, after a year on the market. It's a bigger house than mine. Make it make sense. The local schools are not great, I see police less, roads are ****, but "muh rightist feels"

This is when the real insurrection happens. Can't pay taxes or can't afford insurance. It is theft. Property tax is the dumbest tax of them all and stands against everything this country was founded on. It should be income and consumption. Not based on make belief what something might sell for.

Inflation is beneficial if you live in a hot air balloon.

DrEvazanPhD said:

---

TA-OP said:

---

tamufan said:

---

Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value.

---

Because, whether they like it or not, rightists also make decisions based on "feels," This math contradicts their narrative. Lowering tax rates has "felt" like increasing appraisal values. And, therefore, we're still seeing us pay more property taxes year after year. But, it's what rightist Texans voted for so they get to own it.

---

Dumb take is dumb.

Sure. They rates may have gone down. But the appraised value is hitting its cap every year. I paid 350k for my house in 2017. Harris county now claims it's worth 800. They tax me like it's 600. My next door neighbor just sold for 470, after a year on the market. It's a bigger house than mine. Make it make sense. The local schools are not great, I see police less, roads are ****, but "muh rightist feels"

---

It's a very dumb take by someone who doesn't understand the yin and yang of tax rates and appraisal values in Texas. I do get amused by his ongoing personal campaign of trying to make the term "rightist" a thing.

I would prefer to be called "normal" or "sane".

YouBet said:

---

DrEvazanPhD said:

---

TA-OP said:

---

tamufan said:

---

Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value.

---

Because, whether they like it or not, rightists also make decisions based on "feels," This math contradicts their narrative. Lowering tax rates has "felt" like increasing appraisal values. And, therefore, we're still seeing us pay more property taxes year after year. But, it's what rightist Texans voted for so they get to own it.

---

Dumb take is dumb.

Sure. They rates may have gone down. But the appraised value is hitting its cap every year. I paid 350k for my house in 2017. Harris county now claims it's worth 800. They tax me like it's 600. My next door neighbor just sold for 470, after a year on the market. It's a bigger house than mine. Make it make sense. The local schools are not great, I see police less, roads are ****, but "muh rightist feels"

---

It's a very dumb take by someone who doesn't understand the yin and yang of tax rates and appraisal values in Texas. I do get amused by his ongoing personal campaign of trying to make the term "rightist" a thing.

I would prefer to be called "normal" or "sane".

---

torrid said:

---

Burdizzo said:

---

torrid said:

---

tamufan said:

---

The first words on this post title are Property Taxes. Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value. Property tax rates have been declining. These have countervailing impacts on your tax bill. I am sure almost all have experienced an increase in property taxes, but that increase is much less than the increase in appraised values. Moreover, the overall price level or Consumer Price Index has increased over time, and incomes have generally increased a bit more than the CPI. (Even those receiving Social Security checks see increases as the CPI increases.)

Maybe we should discuss how much our property tax bills have increased over and above the increase in the CPI.

---

Depends upon the elected officials responsible for setting the tax rate. If their constituency consists mostly of low income renters who think "we don't pay property tax", they look upon increased property values as a form of wealth redistribution. They have no incentive to lower the rate even if the appraisals come in sky high.

---

In a roundabout way this is my complaint. I understand my appraisal has gone up and the tax burden has roughly gone up proportional, give or take a few pennies per thousand. That is not what bothers me. My complaint is that while twice as much money has left my pocket, I don't see twice as many police officers patrolling my neighborhood, twice as much park space, another fire station, etc. What the hell are they doing with twice the money?

---

Spending it on people other than you. You are not a constituent, you are a revenue source.

---

It's a very Matrix concept.

FTR, my tax rate has gone down and my homestead exemption has gone up. I'm actually paying less taxes than I was a few years back. My point was more about insane asset values now. It makes no sense.

Our appraisal value went up 10% and our tax rate went up 3%.

What I see is a continued growth towards a 1% society holds 99% of the wealth.

People like me in the middle class are busting their ass to get into the 1% so they can live in the good neighborhoods, good schools, buy some real estate/assets that will help fuel this growth. The lower middles class and poor are screwed especially when AI and robots start taking jobs and we will have to have a minimum income social safety net that will bankrupt most countries.

Its been a good run America, the last 70 years has been nice, but between the Boomers, greedy AF politicians and general decay in the world, I give it 100 years and Muslims will be 99% of the world population and other 1% will be living behind guarded walls.

The earth is due for another reset in next 250 years.

YouBet said:

---

DrEvazanPhD said:

---

TA-OP said:

---

tamufan said:

---

Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value.

---

Because, whether they like it or not, rightists also make decisions based on "feels," This math contradicts their narrative. Lowering tax rates has "felt" like increasing appraisal values. And, therefore, we're still seeing us pay more property taxes year after year. But, it's what rightist Texans voted for so they get to own it.

---

Dumb take is dumb.

Sure. They rates may have gone down. But the appraised value is hitting its cap every year. I paid 350k for my house in 2017. Harris county now claims it's worth 800. They tax me like it's 600. My next door neighbor just sold for 470, after a year on the market. It's a bigger house than mine. Make it make sense. The local schools are not great, I see police less, roads are ****, but "muh rightist feels"

---

It's a very dumb take by someone who doesn't understand the yin and yang of tax rates and appraisal values in Texas. I do get amused by his ongoing personal campaign of trying to make the term "rightist" a thing.

I would prefer to be called "normal" or "sane".

---

Correct, there's a major difference between the posted tax rate and the Effective tax rate. Which is limited to 3.5%. Without that state limit the Democrats who control local government and ISDs would tax every penny. Our local Harris County "leaders" whine in almost every meeting how they cant tax us more.

So yes, your tax rate can decline but every year paying more due to the valuations of property increasing. They theres the issue of bonds where people don't understand its just another tax.

When local government engages in systematic overvaluation of properties it's not fraud, but if private entities do it, the state might go after them. I wonder why the tax assessment offices are allowed to play so loosely with market valuation when there is an obvious conflict of interest. Surely there is a better way than having to hire an appeal business to file on your behalf every year and basically leech 25-50% of what they can claw back every year. It's a really insane process we allow to continue.

No changes to my house. I did replace my privacy fence.

G. hirsutum Ag said:

---

Property values and tax rates are at all time highs yet ISDs are complaining about being broke and our teachers make next to nothing. Where does it all go?

---

Districts with enough ag land to offset it are building a crapton of new facilities.

City districts are getting Robinhooded to all hell and sending 10s to 100s of millions to the state. They can't just lower the rates either because the state is basically requiring their own minimum.

scoodogg said:

---

No changes to my house. I did replace my privacy fence.

---

That sounds racist.

Burdizzo said:

---

torrid said:

---

Burdizzo said:

---

torrid said:

---

tamufan said:

---

The first words on this post title are Property Taxes. Why is everyone talking about appraised values? Property taxes are the tax rate times appraised value. Property tax rates have been declining. These have countervailing impacts on your tax bill. I am sure almost all have experienced an increase in property taxes, but that increase is much less than the increase in appraised values. Moreover, the overall price level or Consumer Price Index has increased over time, and incomes have generally increased a bit more than the CPI. (Even those receiving Social Security checks see increases as the CPI increases.)

Maybe we should discuss how much our property tax bills have increased over and above the increase in the CPI.

---

Depends upon the elected officials responsible for setting the tax rate. If their constituency consists mostly of low income renters who think "we don't pay property tax", they look upon increased property values as a form of wealth redistribution. They have no incentive to lower the rate even if the appraisals come in sky high.

---

In a roundabout way this is my complaint. I understand my appraisal has gone up and the tax burden has roughly gone up proportional, give or take a few pennies per thousand. That is not what bothers me. My complaint is that while twice as much money has left my pocket, I don't see twice as many police officers patrolling my neighborhood, twice as much park space, another fire station, etc. What the hell are they doing with twice the money?

---

Spending it on people other than you. You are not a constituent, you are a revenue source.

---

It's a very Matrix concept.

---

I first read that as "Marxist", but both are accurate.

Appraisal district values are still generally below actual market value, not in all cases but the majority. Prior to Covid assessed values were almost universally low. Home values really haven't increased in the last 2 years. For those of you that don't watch the housing market and and can't believe that your home value has doubled or more in the last 10-12 years, wrap your minds around it because it probably has. The problem isn't appraisals, its greedy local politicians who see increased values are free money and cover for "not raising taxes". Tax rates should be set based on revenuers coming in and not what the rate was before.

And if your asking yourself why did this happen? It was idiots in Washington that printed trillions of dollars and handed it out like candy all the while setting interest rates at zero for an extended period of time, which allowed people to spend much more on homes than they otherwise would not have been able to afford. Same reason that the cost of everything else in our economy has inflated so much. That being said I see home appreciation going back to historical levels from here as long as the feds don't screw something up again, which they probably will.

Private equity only owns ~3% of all single family homes. Also, the government doesn't foreclose for tax defaults nearly as much as banks for mortgage default.

IRS seized ~ 60 properties in 2023.

Local Taxing authorities (state, county, city) seized about 6000 homes nationwide between 2014-2021.

The gov. is not selling homes to Blackrock for pennies on the dollar. The banks usually put them up for auction and get the highest possible price they can to recoup their lost loan.

Does no one in this thread understand the homestead exemption tax limitation of 10%?

Fight that shi7, don't passively watch your value increase.

ToddyHill said:

---

Quote:

---

How is any of this sustainable?

---

It's not.

Our property is up 225% in 12 years. We have become a society of 'haves' and 'have nots.'

Our youngest daughter and her husband (late 20's) are looking to buy their first home in West Knoxville, Tennessee. 1960's ranchers that easily need $50,000 to $75,000 in renovations are selling for around $450,000.

---

Are they falling down, or they want a new kitchen and/or master bath?

NPH- said:

---

Does no one in this thread understand the homestead exemption tax limitation of 10%?

Fight that shi7, don't passively watch your value increase.

---

I was late to the game on fighting ours but I've been doing it for a few years now. Still waiting on outcome for this year's tax bill.

G. hirsutum Ag said:

---

Property values and tax rates are at all time highs yet ISDs are complaining about being broke and our teachers make next to nothing. Where does it all go?

---

Providing bus transportation to kids who live within sight of the school (not something new, but the costs of buses and fuel and maintenance has gone way up). Too many coaches. We had three or four for varsity football, the varsity where I am now has like 7 or 8. Many are the cap on backwards type. Administration. Seems like every position has one or more assistants, assistant this, assistant that, probably assistants to the assistants!

[We cleaned up the thread because it veered way off topic. Please keep it to the OP on property taxes -- Staff]

The currency gets debased due to money printing. Your house value goes up in nominal terms. You therefore owe property taxes on the greater value, even though the house is older and should be worth less. And if you sell it, you owe capital gains tax on the inflated value due to the debasement unless you roll it into another house within a certain amount of time. It is effectively legalized theft.

My house has gone up in dollar terms approximately 40% since I bought it in 2016. In bitcoin terms, it has gone down more than 95%. If you don't like bitcoin, compare the value of your house when you bought it relative to now in terms of gold. You will see a similar trend.

scoodogg said:

---

Mine

---

$120K in "improvements"

Did you put in TWO swimming pools?