Housing tax rise bonanza for Md.

The Baltimore Sun has a revealing story on why certain areas of the country really don't want middle income people around:

The hot housing market, which has made many people feel rich on paper, is sending hundreds of millions in extra cash into state and local coffers.

Maryland's property transfer tax revenue more than doubled - to $236.6 million - in the budget year that ended June 30 compared with five years earlier.

State analysts say residential real estate also accounts for about a third of the state's $245 million in unanticipated individual income tax revenue, because people are reaping such windfalls from selling their homes that they're being hit with capital gains taxes.

It's the same story at the local level.

Higher real estate prices mean more money for the government.Now you can understand why land use restrictions are very difficult to get rid of in some states.But,what's going to happen if real estate ever goes down?