I would guess that by reducing property tax you've made it possible for housing prices to go ever higher. This makes housing SEEM less affordable for sure (sin

I would guess that by reducing property tax you've made it possible for housing prices to go ever higher. This makes housing SEEM less affordable for sure (since the prices can continue to rise higher), and might also actually make it less affordable too as people are happy to build ever more expensive housing since the property tax rates are lower. A certain niceness of a house in a certain market will tend to sell/rent for $X per month, no matter how you arrive at $X. So if property taxes are high, it tends to reduce the actual price of the house since people don't just pay a mortgage, but rather have to pay everything associated with the house; mortgage, insurance, taxes, etc. This is a similar phenomena to the low interest rate, high property price that we've witnessed over the last decade or so in the US. At 4% a 200k house costs about $1k/mo once you roll in some kind of property tax and PMI. At 8% $1k/mo buys you less than 100k of house again assuming the same property tax and PMI.