[Svartalfiar]

The fact is housing prices don’t affect most homeowners. If you have one home and don’t plan on selling, it really doesn’t matter if the value of your home goes up or down, unless you are using the equity to get a HELOC. Even then, if you’ve lived there a while, you have a fair amount of equity already.

Not all that much, but it does some. Most property taxes fluctuate and are based off your home's valuation. So when the neighborhood doubles in price, your taxes double also.

If I was in charge of stuff, home sales prices would be reported to the county, and your home evaluation for tax purposes is frozen at that amount until the house is sold or transferred. If the city/county/school wants more $$, then they can pass a tax increase, instead of sneaking one in every year by increasing your assessment (which is difficult to argue against).

[Robert A Cook PE]

Oh yes, oh yes. But, you see, the county tax receipts can’t go up if the sales prices are used.

If ( WHEN) “appraisal prices” go up, the ENTIRE NEIGHBORHOOD gets to pay more taxes after a single house in the neighborhood is sold.

[Fido969]

Property taxes are designed to cover the municipality budget. So, if valuations go up, the rate comes down, and vice-versa.

Now politician will raise the budget regardless of whether values go up or down.