2022 U.S. Property Taxes by State Report

One of the oldest forms of taxation, property taxes are one of the primary forms of revenue streams for local governments. They’re used to fund public services and programs, such as schools; emergency services (including fire and police departments); infrastructure development and upkeep; parks and recreation; sanitation (including pest control, like mosquito abatement); public works; government employee payrolls; and more. 

While property tax rates can vary significantly by state, all states apply them to all properties, as well as land. Therefore, it’s essential to know how property taxes are determined. Additionally, property taxes can also vary within different areas of a state, as well, because local governments may charge differing rates or additional taxes to fund specific programs and services — such as an added county-level tax for capital infrastructure developments or even within certain parts of a larger city to garner additional funds for a specific school district.  

Property taxes can vary significantly from state to state, leading to a difference of potentially thousands of dollars in a homeowner’s bill for essentially identical properties. Therefore, it’s crucial to thoroughly research property taxes at both the state level — to get a general idea of a state’s level of taxation — and a very specific local level for an area you may be considering relocating to.

Moreover, it must be kept in mind that tax levies are always set by local governments — such as the city, county or school district — and may include surtaxes for special assessment districts that may be as small as a neighborhood or subdivision.

For an easy overview of a state’s general level of taxation, we calculated each state’s average effective tax rate by dividing the median real estate taxes paid by the median home value, as reported by the U.S. Census Bureau. Essentially, we defined the average effective tax rate as a percentage of the state median home value.

State2020 Average Effective Tax Rate (%)2020 Median Home Value2020 Median Property Taxes Paid ($)2020 Median Income Per Household
Alabama0.41%$149,600$608$52,035
Alaska1.21%$275,600$3,339$77,790
Arizona0.64%$242,000$1,559$61,529
Arkansas0.62%$133,600$828$49,475
California0.74%$538,500$3,994$78,672
Colorado0.51%$369,900$1,868$75,231
Connecticut2.13%$279,700$5,966$79,855
Delaware0.57%$258,300$1,468$69,110
Florida0.86%$232,000$1,992$57,703
Georgia0.91%$190,200$1,726$61,224
Hawaii0.28%$636,400$1,788$83,173
Idaho0.66%$235,600$1,553$58,915
Illinois2.24%$202,100$4,529$68,428
Indiana0.83%$148,900$1,240$58,235
Iowa1.56%$153,900$2,402$61,836
Kansas1.41%$157,600$2,223$61,091
Kentucky0.85%$147,100$1,252$52,238
Louisiana0.55%$168,100$926$50,800
Maine1.32%$198,000$2,614$59,489
Maryland1.08%$325,400$3,508$87,063
Massachusetts1.21%$398,800$4,836$84,385
Michigan1.50%$162,600$2,441$59,234
Minnesota1.11%$235,700$2,606$73,382
Mississippi0.80%$125,500$998$46,511
Missouri0.96%$163,600$1,569$57,290
Montana0.83%$244,900$2,026$56,539
Nebraska1.68%$164,000$2,762$63,015
Nevada0.57%$290,200$1,660$62,043
New Hampshire2.13%$272,300$5,796$77,923
New Jersey2.47%$343,500$8,489$85,245
New Mexico0.80%$175,700$1,399$51,243
New York1.72%$325,000$5,590$71,117
North Carolina0.82%$182,100$1,489$56,642
North Dakota0.99%$199,900$1,977$65,315
Ohio1.53%$151,400$2,320$58,116
Oklahoma0.89%$142,400$1,270$53,840
Oregon0.94%$336,700$3,161$65,667
Pennsylvania1.56%$187,500$2,917$63,627
Rhode Island1.57%$276,600$4,345$70,305
South Carolina0.57%$170,100$962$54,864
South Dakota1.29%$174,600$2,248$59,896
Tennessee0.69%$177,600$1,217$54,833
Texas1.75%$187,200$3,281$63,826
Utah0.60%$305,400$1,837$74,197
Vermont1.90%$230,900$4,392$63,477
Virginia0.81%$282,800$2,304$76,398
Washington0.96%$366,800$3,513$77,006
West Virginia0.58%$123,200$719$48,037
Wisconsin1.78%$189,200$3,370$63,293
Wyoming0.61%$228,000$1,380$65,304
Washington, D.C.0.57%$618,100$3,551$90,842
Puerto Rico0.53%$111,200$591$21,058

Explore the interactive map below for a quick overview of average effective property taxes by state, including Washington, D.C. and Puerto Rico. Hover over or zoom in on each state for additional stats at a glance. 

Note: The average effective tax rates displayed on the map above are expressed as a percentage of home value and were calculated by PropertyShark for each individual state by dividing the median real estate taxes paid by the median home value.

Considering the varying tax rates across the U.S., homeowners relocating from a state with low property taxes to one that charges high levies may be confronted with an unexpected financial cost. However, it’s important to keep in mind that high property taxes do not automatically mean that other taxes — such as sales, income and fuel taxes — will also be high.  

Explore below the top 10 states with the highest property taxes in the U.S., according to the average effective tax rate. Also included are the median state home value, the median real estate taxes paid and the median household income. 

For an easier overview of the differences in tax rates among the states with the highest property taxes, explore our chart below: 

1. New Jersey

  • Effective tax rate: 2.47%
  • State median home value: $343,500
  • Median real estate taxes paid: $8,489
  • Median household income: $85,245

New Jersey homeowners contend with the highest average effective property tax rate in the U.S. Paired with the seventh-highest state median home value, New Jersey homeowners have the absolute highest median real estate tax bill in the country at more than $8,000. Plus, New Jersey also charges one of the highest sales taxes at 7%, while its graduated income tax ranges from as low as 1.4% to as high as 10.75%.

2. Illinois

  • Effective tax rate: 2.24%
  • State median home value:$202,100
  • Median real estate taxes paid: $4,529
  • Median household income: $68,428

Although Illinois has the second-highest property tax rate in the U.S., homeowners face noticeably lower tax bills here than in New Jersey, thanks to the state’s significantly lower median home value. However, Illinois homeowners still pay the sixth-highest median property tax bill in the country. Its 6.25% sales tax is also on the heftier side and is joined by a 4.95% state income tax. 

3. Connecticut

  • Effective tax rate: 2.13% 
  • State median home value: $279,700
  • Median real estate taxes paid: $5,966
  • Median household income: $79,855

Connecticut’s property taxes are among the absolute highest in the U.S., tied with New Hampshire at a 2.13% effective property tax rate. As a result, Connecticut homeowners pay the third-highest property tax rate in the U.S. And, since Connecticut’s median home value trends higher than that of New Hampshire, Connecticut’s tax dues surpass New Hampshire’s property tax bills in sheer dollar amount. It’s also worth mentioning that while New Hampshire charges no sales tax, Connecticut’s state sales and use tax is 6.35%, the 11th highest nationwide.

4. New Hampshire

  • Effective tax rate: 2.13%
  • State median home value: $272,300
  • Median real estate taxes paid: $5,796
  • Median household income: $77,923

Tied with Connecticut at a 2.13% effective property tax rate, New Hampshire homeowners pay somewhat lower bills than Connecticut residents thanks to New Hampshire’s lower state median home value. Regardless, New Hampshire homeowners still have to contend with one of the highest property tax bills in the country, coming in at a median $5,701. However, New Hampshire charges no state sales tax, thereby significantly offsetting the cost of living. 

5. Vermont

  • Effective tax rate: 1.9%
  • State median home value: $230,900
  • Median real estate taxes paid: $4,392
  • Median household income: $63,477

6. Wisconsin

  • Effective tax rate: 1.78%
  • State median home value: $189,200
  • Median real estate taxes paid: $3,370
  • Median household income: $63,293

7. Texas

  • Effective tax rate: 1.75%
  • State median home value: $187,200
  • Median real estate taxes paid: $3,281
  • Median household income: $63,826

8. New York

  • Effective tax rate: 1.72%
  • State median home value: $325,000
  • Median real estate taxes paid: $5,590
  • Median household income: $71,117

9. Nebraska

  • Effective tax rate: 1.68%
  • State median home value: $164,000
  • Median real estate taxes paid: $2,762
  • Median household income: $63,015

10. Rhode Island

  • Effective tax rate: 1.57%
  • State median home value: $276,600
  • Median real estate taxes paid: $4,345
  • Median household income: $70,305

11. Iowa

  • Effective tax rate: 1.56%
  • State median home value: $153,900
  • Median real estate taxes paid: $2,402
  • Median household income: $61,836 

12. Pennsylvania

  • Effective tax rate: 1.56%
  • State median home value: $187,500
  • Median real estate taxes paid: $2,917
  • Median household income: $63,627

Some U.S. states (and territories) boast attractively low property tax rates paired with low taxation in other areas, as well. For instance, Louisiana currently has the fifth-lowest property tax rate in the U.S. at 0.55%. And, at 4%, it also has one of the lowest sales taxes in the country, as well, while its state income taxes range between 2% and 6%.  

Explore our list below to see the 10 states with the lowest property taxes by their average effective property tax rate. Also included are the median state home value, the median real estate taxes paid and the median household income. 

For an easier overview between the differences in tax rates among the states with the lowest property taxes, explore our chart below: 

1. Hawaii

  • Effective tax rate: 0.28%
  • State median home value: $636,400
  • Median real estate taxes paid: $1,788
  • Median household income: $83,173

Hawaii currently has the lowest average effective property tax rate in the U.S. at 0.28%. However, because it also features one of the highest median home values, homeowners’ tax bills can still easily surpass that of states with higher rates. Even so, at 4%, the state also has one of the lowest sales tax rates in the country — as states with a thriving tourist industry often do.

2. Alabama

  • Effective tax rate: 0.41%
  • State median home value: $149,600
  • Median real estate taxes paid: $608
  • Median household income: $52,035

With an effective property tax rate of 0.41% and the eighth-lowest median home value in the U.S., Alabama offers a homeowner-friendly tax environment overall. Plus, its 4% sales tax is also among the lowest in the U.S., while its income tax ranges between 2% and 5% — making this an attractive location for those looking to own a larger home on a lower budget. 

3. Colorado

  • Effective tax rate: 0.51%
  • State median home value: $369,900
  • Median real estate taxes paid: $1,868
  • Median household income: $75,231

Although Colorado’s property tax rate sits at 0.51%, higher home values than in other states with similarly low property tax rates actually leave homeowners here with a bill that’s three times higher than in Alabama. And, while the state income tax sits at a middling 4.63%, Coloradoans do benefit from the lowest sales tax in the country at 2.9%. That’s surpassed only by the seven states that levy no state sales tax at all.  

4. Puerto Rico

  • Effective tax rate: 0.53%
  • State median home value: $111,200
  • Median real estate taxes paid: $591
  • Median household income: $21,058

5. Louisiana

  • Effective tax rate: 0.55%
  • State median home value: $168,100
  • Median real estate taxes paid: $926
  • Median household income: $50,800

6. South Carolina

  • Effective tax rate: 0.57%
  • State median home value: $170,100
  • Median real estate taxes paid: $962
  • Median household income: $54,864

7. Delaware

  • Effective tax rate: 0.57%
  • State median home value: $258,300
  • Median real estate taxes paid: $1,468
  • Median household income: $69,110

8. Nevada

  • Effective tax rate: 0.57%
  • State median home value: $290,200
  • Median real estate taxes paid: $1,660
  • Median household income: $62,043

9. Washington, D.C.

  • Effective tax rate: 0.57%
  • State median home value: $618,100
  • Median real estate taxes paid: $3,551
  • Median household income: $90,842

10. West Virginia

  • Effective tax rate: 0.58%
  • State median home value: $123,200
  • Median real estate taxes paid: $719
  • Median household income: $48,037

11. Utah

  • Effective tax rate: 0.60%
  • State median home value: $305,400
  • Median real estate taxes paid: $1,837
  • Median household income: $74,197

12. Wyoming

  • Effective tax rate: 0.61%
  • State median home value: $228,000
  • Median real estate taxes paid: $1,380
  • Median household income: $65,304

13. Arkansas

  • Effective tax rate: 0.62%
  • State median home value: $133,600
  • Median real estate taxes paid: $828
  • Median household income: $49,475
     

Data concerning median real estate taxes paid, the state (including D.C. and the Commonwealth of Puerto Rico) median home value, the median household income was extracted from the U.S. Census Bureau’s 2015-2019 American Community Survey 5-Year Estimates and the Puerto Rico Community Survey 5-Year Estimates.

Limited data concerning state income and sales taxes was extracted from the Tax Foundation’s 2020 Facts & Figures report.

The average effective tax rate (also referred to as effective tax rate on this page) was calculated by dividing the median real estate taxes paid by the median home value.

Median home value has been defined as the assessed median home value. However, it’s important to note that the assessment refers not to a tax assessor’s valuation, but to the assessment of American Community Survey respondents of what their property might sell for if it were on the market.

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Information provided on this page is purely informational and is not, and should not be regarded as, investment advice.