Yes. The problem is when it's already become normal, what do you do?
> It could be argued that the valuation on their property being out of whack is an issue of mismanagement by the local government.
Yes, that's exactly what I was arguing.
> In that case a better approach might be to allow for a majority of that improper pricing to be written off over a number of years as a tax credit.
Which is another way of saying that we, as the entire constituency of that tax base (be it local, state or federal), have decided to subsidize the poor planning (to give the benefit of a doubt) of those local governments and try to correct the issue. While probably the most likely to actually work, I'm not holding my breath, as if the pain isn't spread over a significantly larger population than the original problem, it will be hard to survive for the tax payers, and if is is spread, you run into the problem of people not wanting to pay to fix the problems of others (as short sighted as it is, as it stabilizes things overall).
We might hack away at some of the symptoms, but the human psyche is inherently ill suited for rationally weighing the needs of disparate peoples and how they effect us in complex systems like this, being as our neurology evolved for smaller groups/tribes. At least that's my pseudo-psychology take on it.
That's the reason why so many people are anti-regulation and pro free market for just about anything not dealing with actual risks to public safety.
Artificially control supply, prices skyrocket. Let the free market work and as demand increases so will supply as people keep building to accommodate. Also creates lots of construction jobs.
It could be argued that the valuation on their property being out of whack is an issue of mismanagement by the local government. In that case a better approach might be to allow for a majority of that improper pricing to be written off over a number of years as a tax credit.