I understand what you mean. If someone is willing to pay a price for something, then it must be worth that. I believe that the value of the housing market will tumble back down. The way I feel is that if my house shot up to 450k from 300k, but falls right back down to 300k, it wasn't really worth 450k. To someone it was, but those prices were hyper inflated for a short period of time. I would just hope my taxes reflect my lower home value when it falls back down.