With tax burdens on the minds of many Americans as tax season approaches and election issues gain steam, one analysis of property taxes in the 50 states finds a wide spread of rates, including some surprising results.
24/7 Wall St. recently analyzed data from the Tax Foundation to review property taxes paid in each state as a percentage of home values to find which state’s home owners pay the most and least in property taxes.
The study found:
States With the Lowest Property Taxes
Hawaii (ranked No. 50 out of 50)
- Effective property tax rate: 0.28%
- Median home value: $528,000 (the highest)
- Property taxes paid per tax return: $1,993 (5th lowest)
Alabama (ranked No. 49)
- Effective property tax rate: 0.43%
- Median home value: $125,600 (7th lowest)
- Property taxes paid per tax return: $1,352 (the lowest)
Louisiana (ranked No. 48)
- Effective property tax rate: 0.51%
- Median home value: $143,600 (18th lowest)
- Property taxes paid per tax return: $2,076 (7th lowest)
Delaware (ranked No. 47)
- Effective property tax rate: 0.55%
- Median home value: $230,500 (15th highest)
- Property taxes paid per tax return: $2,532 (16th lowest)
South Carolina (ranked No. 46)
- Effective property tax rate: 0.57%
- Median home value: $140,000 (15th lowest)
- Property taxes paid per tax return: $2,041 (6th lowest)
West Virginia (ranked No. 45)
- Effective property tax rate: 0.59%
- Median home value: $103,900 (the lowest)
- Property taxes paid per tax return: $1,546 (2nd lowest)
States with the Highest Property Taxes
New Jersey (ranked No. 1 out of 50)
- Effective property tax rate: 2.38%
- Median home value: $313,200 (4th highest)
- Property taxes paid per tax return: $8,943 (the highest)
Illinois (ranked No. 2)
- Effective property tax rate: 2.32%
- Median home value: $171,900 (24th highest)
- Property taxes paid per tax return: $6,357 (5th highest)
New Hampshire (ranked No. 3)
- Effective property tax rate: 2.15%
- Median home value: $236,400 (13th highest)
- Property taxes paid per tax return: $6,954 (4th highest)
Connecticut (ranked No. 4)
- Effective property tax rate: 1.98%
- Median home value: $267,200 (7th highest)
- Property taxes paid per tax return: $7,294 (3rd highest)
Wisconsin (ranked No. 5)
- Effective property tax rate: 1.96%
- Median home value: $164,700 (24th lowest)
- Property taxes paid per tax return: $4,622 (12th highest)
The study determined a variety of reasons that some states pay more and others less. Check out more about the study at 24/7 Wall St. and view the full rankings of the 50 states.
Source: “States with the Highest (and Lowest) Property Taxes,” 24/7 Wall St. (Feb. 8, 2016)