As the old saying goes, all politics are local. The very same inflated real estate values, benefit the city or county in which they're located in the form of property taxes. They seem to be able to adjust these figures at will. Either the value, or the tax rate.
Now riddle me this. My 3 ac. lot that I paid 7500 for, was valued by the city in 2008 at 87,100? I must be some kinda genius to make that "much money" in 5 years.
Here's the kicker. My assessment for the lot for 2009 is 98,300? I've done it! I've beat the downturn in the real estate market! They have to be kidding right?
This doesn't include the house, which we built ourselves and spent 135,000 on, is now "worth" 211,000. I should be "rich".

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Do gooder since April 26, 2009!