Effective rates range from 0.28% (Hawaii) to 2.23% (New Jersey). The median American homeowner pays $3,107/year.
0.28%
Lowest Rate
Hawaii ($2,482/yr)
$3,107
National Median Tax
Per year
2.23%
Highest Rate
New Jersey ($9,196/yr)
Texas has no state income tax, but its 1.60% property tax rate means a $300,000 home costs $4,800/year in property taxes alone. New Hampshire (no income tax, 1.77% property tax) charges even more. Meanwhile, Hawaii has the lowest property tax (0.28%) but one of the highest costs of living. States without income tax often make up the revenue through higher property or sales taxes.
| Rank | State | Effective Rate | Median Tax Paid |
|---|---|---|---|
| 1 | Hawaii | 0.28% | $2,482 |
| 2 | Alabama | 0.41% | $658 |
| 3 | Colorado | 0.51% | $2,767 |
| 4 | Nevada | 0.53% | $1,894 |
| 5 | Louisiana | 0.55% | $1,087 |
| 6 | Wyoming | 0.56% | $1,660 |
| 7 | Delaware | 0.57% | $1,835 |
| 8 | South Carolina | 0.57% | $1,248 |
| 9 | West Virginia | 0.57% | $796 |
| 10 | Utah | 0.58% | $2,459 |
| 11 | Arizona | 0.62% | $1,955 |
| 12 | Arkansas | 0.62% | $1,068 |
| 13 | Idaho | 0.63% | $2,164 |
| 14 | Mississippi | 0.65% | $921 |
| 15 | Tennessee | 0.66% | $1,533 |
| 16 | New Mexico | 0.67% | $1,530 |
| 17 | California | 0.71% | $5,946 |
| 18 | Montana | 0.74% | $2,824 |
| 19 | North Carolina | 0.77% | $2,133 |
| 20 | Virginia | 0.80% | $2,838 |
| 21 | Georgia | 0.83% | $2,473 |
| 22 | Kentucky | 0.83% | $1,382 |
| 23 | Indiana | 0.84% | $1,563 |
| 24 | Washington | 0.84% | $4,645 |
| 25 | Florida | 0.86% | $2,918 |
| 26 | Oklahoma | 0.87% | $1,480 |
| 27 | Oregon | 0.87% | $3,669 |
| 28 | Missouri | 0.93% | $1,931 |
| 29 | North Dakota | 0.94% | $2,228 |
| 30 | Alaska | 1.04% | $3,570 |
| 31 | Maryland | 1.05% | $3,938 |
| 32 | South Dakota | 1.08% | $2,671 |
| 33 | Minnesota | 1.11% | $3,336 |
| 34 | Massachusetts | 1.12% | $5,768 |
| 35 | Maine | 1.24% | $3,456 |
| 36 | Kansas | 1.33% | $2,690 |
| 37 | Michigan | 1.38% | $2,831 |
| 38 | Rhode Island | 1.40% | $4,737 |
| 39 | Pennsylvania | 1.49% | $3,473 |
| 40 | Iowa | 1.52% | $2,862 |
| 41 | Ohio | 1.53% | $2,836 |
| 42 | Texas | 1.60% | $4,304 |
| 43 | Nebraska | 1.61% | $3,466 |
| 44 | Wisconsin | 1.61% | $3,937 |
| 45 | New York | 1.62% | $6,673 |
| 46 | Vermont | 1.73% | $5,055 |
| 47 | New Hampshire | 1.77% | $6,486 |
| 48 | Connecticut | 1.79% | $6,729 |
| 49 | Illinois | 2.08% | $5,256 |
| 50 | New Jersey | 2.23% | $9,196 |
Effective rate = median property tax paid / median home value. Rates vary significantly by county and municipality within each state. Sources: Census ACS 2023, Tax Foundation 2024.
Hawaii has the lowest rate (0.28%) but homeowners still pay $2,482/year because median homes cost $886,400. California's 0.71% rate produces $5,946 in annual taxes thanks to $837,500 median home values. Meanwhile, New Jersey's 2.23% rate on a $412,300 median home means $9,196/year -- the highest dollar amount in the nation.
A homeowner with a $400,000 home in New Jersey pays $8,920/year in property taxes. The same home in Hawaii would cost just $1,120/year -- a $7,800 annual difference, or $234,000 over 30 years. That's before considering New Jersey also has a state income tax.
In high-tax states, property taxes effectively add to your monthly housing cost. In New Jersey, property taxes add $766/month to your housing payment. In Texas, it's $400/month on a median home. These recurring costs never go away -- even after your mortgage is paid off.
Property Tax Estimator
Calculate your estimated property tax based on home value and state
Home Equity Calculator
See how property taxes affect your total cost of ownership
Home Affordability Calculator
Factor property taxes into how much home you can afford
Closing Costs Calculator
Estimate total costs when buying a home including prorated taxes
New Jersey has the highest effective property tax rate at 2.23%, with a median annual tax of $9,196. Illinois (2.08%), Connecticut (1.79%), and New Hampshire (1.77%) round out the top four.
Hawaii has the lowest effective rate at 0.28%, followed by Alabama (0.41%), Colorado (0.51%), and Nevada (0.53%). However, low rates on expensive homes can still mean high dollar amounts.
Your property tax = assessed value x local mill rate. The assessed value may differ from market value (some states assess at a fraction of market value). Rates are set by local governments including counties, cities, school districts, and special districts.
Usually, yes. Property taxes increase as home values rise (reassessment) and as local governments adjust tax rates. Some states cap annual increases (California's Prop 13 limits increases to 2%/year). Others reassess annually at full market value.
Yes, but the SALT (State and Local Tax) deduction is capped at $10,000 per year for the combined total of state income taxes and property taxes. This cap particularly impacts homeowners in high-tax states like New Jersey and New York.