Prevent Displacement Due to Gentrification Through Property Tax Reform
- Published By
- Well Being In the Nation Network
Gentrification occurs in lower-income neighborhoods where property values are low. People who have not lived in that area move there because property values are low. Then the property values increase, as more and more new residents can afford to buy properties. As property values rise, property taxes increase. People who have lived there for a long time have to move out because they can't afford their property taxes. Governments can put sliding scales or other limits on property taxes, to allow low-income residents to stay in their homes. At the same time, capping property taxes can be a problem, since higher-income residents should pay their fare share.