Are Local Property Taxes a Subsidy for Gentrification?

Andrew Keen: Are caps on property tax rates essentially a subsidy for gentrification? He says in rapidly gentrifying neighborhoods the difference between your market value and your assessed value can be enormous. In New York City there are places where people were saving more than $28,000 per year on property tax. It's not like tax benefits are reflected sort of one for one in the purchase prices but there definitely is an effect.