Why would they not just stop renting the property and pay zero taxes?
The state will still assess property taxes if you buy which is basically paying lifelong rent paid to the government...for property you bought and paid off.
What you suggest is somewhat similar to subsidized housing (the projects).
What I'm suggesting is the abolition of all taxation, zero taxes except on land ownership. That would OMFG end real estate investment (who cares?) And end all taxation of people.
What products or services do banks and the government really give us? High land prices and taxes for trying to survive? No thanks.