Final answer:
A property manager's compensation usually includes a flat fee or a) a percentage of new rentals. Property taxes, in contrast, are lump sum payments by property owners used to fund local governments, which can be challenged by limits like California's Proposition 13.
Step-by-step explanation:
A property manager's compensation may take the form of a flat fee, a percentage on new rentals, or a combination of those. Unlike property taxes which are typically assessed on homes, land, and businesses by local governments in one or two lump sums, property managers earn through fees for their services. Property taxes are viewed as progressive because property ownership tends to be concentrated among higher income groups, and therefore, those who own more property pay more in taxes. Local government's reliance on property tax revenue can be problematic, where initiatives like California's Proposition 13 have put limits on property tax increases to control the tax burden on property owners.