Put simply, no.

Property tax law varies from state to state, but general assumptions can be made throughout the nation. As property values fall, some homeowners might assume their taxes will go down with it. This is generally not the case, while your taxes may go down a little, they won’t be plummeting at the same rate your home value is.

Here’s an explanation why. Property tax is based on county need and home value; road repair, libraries, schools, and fire departments all need money to operate (no matter how much your home is valued at) which is where your property tax dollars step in. Each year these different organizations estimate how much money they need in the coming year (the exact percent increase is usually capped by voters), that number is then divided among the properties in the county. Again, that’s very simplified.

Your home’s value comes into play when the assessor sets the tax rate based on how much all the homes in your county are worth against how much money is needed by public services. Aubrey Cohen of the SeattlePI puts it best:

“…if a library district needs $100,000 this year and its district has a total property value of $100 million, its tax rate will be $1 per $1,000 of assessed valuation, meaning a bill of $200 on a $200,000 home.”

Here’s where it all comes together, and why home values don’t mean lower taxes:

“If [the library] needs the same amount of money next year, but values declined 10 percent, the assessor would raise the tax rate to $1.11 per $1,000 of assessed valuation.”

Meaning your house is worth less but you still have to pay the same amount (or more) to keep public services up and running. One way your taxes could decline is if your particular neighborhood was hit hard with falling prices and others stayed steady or increased. Your home’s value against others in your county is the determining factor in how your property tax fluctuates.

While Cohen’s example is targeted at Seattle’s tax code, his points are still well received and generally universal. If you thought the lowering of your home’s value was bad and looked for lower taxes to be your silver lining, I hate to be the bearer of bad news but it’s probably not the case and can even be the opposite.

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