They are not correct. Property tax in Germany is based on some fictious value (which is not necessarily close to market value) calculated using an old algorithm. Usuable floor area is an an important input, so a condo block and a family home are not taxed equally.
There have been serious proposals for reform in the past few years but a tax based on land area alone was not seriously considered so far by the competent body as far as I know (but there have been calls for them to do so e.g. by some mayors).
Nonetheless, property tax ends up in the hands of municipalities, making up about 15% of their budget on average. Roads and schools are only partially funded through the municipality's budget, a huge chunk comes from higher levels. For schools, municipalities pay about one third of the cost (again, on average). This ensures e.g. that schools are adequately funded even in poor districts. It also has practical reasons. For example teachers are usually not employed by the school itself but civil servants of the state delegated to teach at the school. Thus their salary doesn't end up in the school's budget.
Distribution of tax income and expenses between the different levels of government is highly political and constantly bargained. For example, just this year was decided that the federal government gets more administrative rights regarding highways and digitalization ("data highways") for giving the states 4B€ more of the sales tax.
There have been serious proposals for reform in the past few years but a tax based on land area alone was not seriously considered so far by the competent body as far as I know (but there have been calls for them to do so e.g. by some mayors).
Nonetheless, property tax ends up in the hands of municipalities, making up about 15% of their budget on average. Roads and schools are only partially funded through the municipality's budget, a huge chunk comes from higher levels. For schools, municipalities pay about one third of the cost (again, on average). This ensures e.g. that schools are adequately funded even in poor districts. It also has practical reasons. For example teachers are usually not employed by the school itself but civil servants of the state delegated to teach at the school. Thus their salary doesn't end up in the school's budget.
Distribution of tax income and expenses between the different levels of government is highly political and constantly bargained. For example, just this year was decided that the federal government gets more administrative rights regarding highways and digitalization ("data highways") for giving the states 4B€ more of the sales tax.