>Also, Prop 13 still allows for increased assessments; they're just capped at 2% annually unless the property is sold. Considering the housing boom/bust cycle i

>Also, Prop 13 still allows for increased assessments; they're just capped at 2% annually unless the property is sold. Considering the housing boom/bust cycle in CA has been pretty bad, 2% seems equitable. The boom/bust cycle was exacerbated by capping it at 2%. Property taxes are not raised or lowered, incidentally. They're a flow of income that is redirected from homeowners to the state or back again. Of course, home values increase substantially if homeowners can capture that stream of income derived from the value of the land. Hence the crazzzzzy house prices in California.