What is a common consequence of inaccurate property assessments?

Inaccurate property assessments can lead to decreased tax revenue for local governments and municipalities. When properties are assessed at values lower than their actual market value, it results in lower property tax bills for property owners. Consequently, the total amount of tax revenue collected can diminish, impacting the funding for essential public services and infrastructure.

Additionally, inaccurate assessments can create disparities in the tax burden, as properties that are assessed accurately may bear a heavier tax load compared to those inaccurately assessed. This misalignment can ultimately hinder a community's ability to maintain or improve services such as schools, public safety, and road maintenance, which rely on consistent and adequate tax funding.

The other potential consequences listed do not align as clearly with the impacts of inaccurate assessments. For example, inaccuracies typically do not lead to increased property sales or community development; in fact, they may create disincentives for investment and growth. Legal penalties for assessors could occur in certain circumstances, but they are not a common consequence of inaccurate assessments overall.