Property taxes aren’t fines or punishment - they’re to pay for the civilisation around your property which costs money to run.
But it does highlights the asymmetry of power. The state holds the people to a much higher standard than what the state itself is willing or able to offer back. The state will never be held to this kind of standard when owing you money. Either by adjusting the law or by simply never applying the same strict outcome to themselves (imagine that no Government building would ever be subjected to this should their tax not be payed for any reason).
And in places where the people care little about righting some wrongs or are tricked into thinking this is what they actually want you end up with absurd situations like this. Losing a house for an $8 debt.
Or at least that's what my country's founders might have believed and tried to establish. We might argue they're still correct in some sense even in spite of a government or society that insists otherwise.
Although, you could still choose a different government by moving so not all choice is removed. However, you have odd things like the US taxing based off citizenship instead of location. Although the US is one of the few countries that will let you relinquish your citizenship and even become stateless (bad idea don't become stateless).
Also if you purchase land in the US your not getting allodial title. Also I doubt any state or country today would let you get a complete allodial title, it would probably be limited in some form.
The bigger problem here though is it really just to seize all value of property for failing their obligations by 8 dollars. I would argue that is clearly unjust considering the scale of things.
But if the aim is to pay little tax then come to Alabama! The natural lowtax experiment has been run in Alabama. The 1901 constitution was written by the wealthy industrialists and landowners with the express goal to disenfranchise black freedmen and white sharecroppers. The wealthy don't need local services paid through taxes, they can fund their own schools and other facilities and disregard the life of everyone else, so they made it very much impossible to raise local funds without going through the legislature in Montgomery, which they controlled. Now look at the shape of the state today. There is no decent infrastructure, education and roads are awful, no opportunity to profit from investment. Everyone who could leave left long ago.
That said, I really like the benefits from taxes - a good government and social cohesion: there are plenty of places in the world with less taxes and less government that appear extremely unappealing to live in.