Idea for Increasing Municipal Revenues
I bet there are homeowners who are interested in improving or replacing their homes, but are unwilling to pull the trigger because of the uncertainty of how property taxes will increase.
My idea is that municipalities consider providing a forecast of property tax increases, in advance of a project being started, based solely upon building plans, and guarantee that figure for three years (unless the project changes substantially).
Of course municipalities should charge fees that cover the full cost of providing the service.
Instead of worrying that taxes might increase X or 2X or 3X, homeowners will have certainty, which might be enough to nudge some of them into action.
Even a handful of “extra” home renovations per year can add up.
Is this already being done? Are there consequences I haven’t thought of?
If so, please let me know. Thanks!