Property Taxes Finally Start To Reflect Housing's Plunge

Many homeowners have been paying property taxes based on the values of their homes during housing's go-go days, but a recent slowdown in property tax increases suggests that, perhaps to the relief of some beleaguered borrowers, that may be changing.

USA Today reports that in 2011 property tax revenues fell below the inflation rate for the first time since 1995: Collections rose just 1.2 percent which, when adjusted for inflation, amounted to a 0.9 percent decline, says the Bureau of Economic Analysis.