Split-Rate Property Taxation in Detroit

Detroit explored a split-rate property tax system as a potential response to high residential tax burdens, widespread tax delinquency and foreclosure, and disincentives for development. These taxes would tax land at a higher rate and improvements at a lower rate, encouraging redevelopment while reducing tax bills for most homeowners, but requires significant state legislative changes, accurate land assessments, and careful analysis to ensure revenue neutrality and constitutional compliance.