Median sales price Detroit houses $5800

[Ocean2026]

http://www.detnews.com/article/20090...+prices+plunge

The article talks about multiple houses that may be sold for $1.

Many of them won't sell which is why I think Detroit should make its tax system like Texas- Market Value with a minimum tax of $1000 per year [[Texas has no minimum).

The idea is to get the houses off the tax roll -hopefully people would then fix them up-however many on here disagree because there may be an immediate hit in revenue. On the other hand if someone sees a $1000 house with a $5k annual tax levy - my guess is they might pass it up and that would explain why people aren't always biting -even for $1000, $100 or $1

[E hemingway]

I remember reading somewhere in Crain's that Detroit property taxes only make up 12 percent of the city's budget. So basically cutting the property tax in half would have minimal impact on the city's budget, especially when you're already making huge cuts. I am surprised none of the mayoral candidates have proposed significantly lowering the city's property taxes as a way of creating jobs and providing relief for struggling families. This obviously wouldn't be a hit with the city union voters, but it would be celebrated by just about everybody else.

[Prodigal_Son]

I remember reading somewhere in Crain's that Detroit property taxes only make up 12 percent of the city's budget. So basically cutting the property tax in half would have minimal impact on the city's budget, especially when you're already making huge cuts. I am surprised none of the mayoral candidates have proposed significantly lowering the city's property taxes as a way of creating jobs and providing relief for struggling families. This obviously wouldn't be a hit with the city union voters, but it would be celebrated by just about everybody else.

I'm not sure that 6% is minimal impact, but I agree that property taxes are too high. The millages are designed to get money from people who own $50,000 houses, but people -- like myself -- with $150,000 houses are getting robbed from.

Part of the problem is the cap on tax increases from year to year. This has created a situation where people who have lived in houses for 30 years are paying $900 a year, but a new homeowner is paying $5500. This creates a disincentive to new homeowners [[unless they move into a cookie-cutter tax-abated development). It also makes it so that long-time residents can scarcely afford to move across the street!

Tax reform should be #1 on the new mayor's priority list.