Could Property Taxes Be on the Chopping Block? Here's What That Means for You

There’s been a lot of buzz lately about former President Trump floating the idea of eliminating real estate property taxes. Whether you’re a supporter or not, it’s hard to ignore the logic behind the sentiment: Why are we paying ongoing taxes on property we've already purchased and paid taxes on? For many homeowners, it can feel less like ownership and more like renting from the government.

Let’s break it down with some real-world numbers and explore what this could mean for homebuyers—especially here in Frederick County and the City of Frederick.

Property Taxes: The Hidden Drain on Homeownership

As of July, the average sales price of a home in Frederick County is $500,000. With the current property tax rates, that translates to roughly $509 per month going directly to property taxes. In the City of Frederick, the cost is even steeper, with homeowners paying about $760 per month.

Here’s the kicker: None of that money builds equity. It doesn’t pay down your principal. It doesn’t add value to your property. It’s simply gone—forever. Think about it like this: Every month, you're effectively paying rent on land you supposedly own.

The Potential Upside of Eliminating Property Taxes

Now, imagine a scenario where those monthly property tax payments no longer exist. At today’s average interest rate of 6.5%, the elimination of property taxes would give you a major increase in purchasing power.

• In Frederick County, removing that $509 monthly tax burden would give buyers an additional $80,500 in buying power.

• In the City of Frederick, removing the $760 monthly tax would unlock a whopping $120,200 more in potential home value.

In practical terms, that’s 16% to 24% more home for the same monthly payment. Bigger yard, more square footage, better neighborhood—all without spending a single dollar more each month.

Could This Actually Happen?

While this is still just an idea being discussed and not a policy, the implications are massive. Eliminating property taxes could reshape the housing market, make homeownership more attainable, and put an end to what some view as a “government-forced rent” system.

Whether or not this gains real traction, it’s certainly igniting conversation—and perhaps, long overdue debate—about the fairness and future of property taxation in the U.S.

Thinking About Buying or Selling?

If you’re considering buying or selling and want to understand how potential policy changes could impact your move, we’re here to help. Reach out to us anytime—call, message, or slide into our DMs. We’d love to connect and guide you through your next steps.