NEW YORK, June 7 (UPI) -- The one bright note in the economy has been rising property values, but along with houses appreciating comes higher property taxes.
For homeowners, property taxes represent the single largest expense outside of their mortgage. While all-time-low mortgage rates allow homeowners to cut their monthly payments, spiraling property taxes are eating away at those savings.
As Michael Carliner, an economist for the National Association of Home Builders, told CNN/Money magazine, property tax rates haven't gone up, but as housing values go up, taxes go up as well.
According to a survey conducted by the National League of Cities in February, 25 percent of city finance officers said they are responding to budget shortfalls by increasing property taxes.
However, while New York City has increased property taxes by 18.5 percent, most municipalities are depending on more property tax revenue as a result of escalating housing values.
