Assessment Inequity in a Declining Housing Market: The Case of Detroit

Timothy R. Hodge, Daniel P. McMillen, Gary Sands, Mark Skidmore

Research output: Contribution to journalArticlepeer-review

Abstract

We examine the degree to which assessment practices in the City of Detroit have created substantial inequities in property tax payments across residential properties. Two key contributions of this article include: (1) inequities created by assessment practices are examined in a collapsed real estate market, and (2) quantile regression techniques are used to determine how assessment practices have altered assessment distributions within and across property value groups. Results show that current practices have created a wide range of property tax payments across properties with similar value (horizontal inequity), and similar tax payments for properties of differing values (vertical inequity).

Original languageEnglish (US)
Pages (from-to)237-258
Number of pages22
JournalReal Estate Economics
Volume45
Issue number2
DOIs
StatePublished - Jun 1 2017

ASJC Scopus subject areas

  • Accounting
  • Finance
  • Economics and Econometrics

Fingerprint Dive into the research topics of 'Assessment Inequity in a Declining Housing Market: The Case of Detroit'. Together they form a unique fingerprint.

Cite this