It's worse than that. Those people with the very most equity gains, are paying the least taxes relative to their house value. Those with the least equity gain (like recent buyers), are paying the very highest taxes relative to their house. It's basically like saying the person who earned over 1 million dollars in equity gain pays far less taxes than the one who earned 10k in equity gain. It's extremely regressive.

And, since home owners are incentivized to stay in the houses that they bought a long time ago (whether or not it's convenient for them or not), it means there's far less housing turnover, less supply and less opportunities for everyone, and longer commutes which is terrible for the environment. It's a disaster.