Property tax rank by state: the complete 2025 guide

Last updated 2026-07-09

How do states rank by property tax rate?

The cleanest way to compare states is the effective property tax rate: annual tax paid divided by the property's market value. That strips out the distortion from states that assess at 50% of market value versus states that assess at 100%. Two homes with identical bills can look wildly different on paper until you convert to effective rate.

The Tax Foundation's 2025 analysis of U.S. Census Bureau data puts New Jersey first at 2.08%, followed by Illinois (1.88%), Connecticut (1.67%), New Hampshire (1.55%), and Vermont (1.45%) ^[1]. At the bottom sits Hawaii at 0.27%, then Alabama (0.37%), Nevada (0.44%), Louisiana (0.52%), and Wyoming (0.55%) ^[1].

Those top five states collect more per dollar of home value than the bottom fifteen combined. That is not an accident. High-rate states usually share one or more traits: no state income tax (New Hampshire), heavy reliance on local property taxes to fund schools (Illinois, New Jersey), or home values so high that a modest rate produces a brutal dollar figure (Connecticut).

For the full ranked table, see property tax ranking by state and property tax by state 2025 for the freshest figures as new assessments roll in.

Full 50-state property tax rate table

The table below ranks all 50 states plus Washington D.C. by effective property tax rate, median annual tax on owner-occupied homes, and median home value used in the calculation. Data comes from the Tax Foundation's 2025 report drawing on U.S. Census Bureau American Community Survey 2019-2023 5-year estimates ^[1][2].

Rank	State	Effective Rate	Median Annual Tax	Median Home Value
1	New Jersey	2.08%	$9,488	$456,400
2	Illinois	1.88%	$5,055	$268,800
3	Connecticut	1.67%	$6,153	$368,200
4	New Hampshire	1.55%	$6,097	$393,300
5	Vermont	1.45%	$4,893	$337,600
6	Wisconsin	1.43%	$3,959	$276,900
7	Texas	1.42%	$4,155	$292,600
8	Nebraska	1.42%	$3,243	$228,300
9	Michigan	1.38%	$3,266	$236,600
10	Ohio	1.37%	$2,717	$198,300
11	Iowa	1.37%	$2,938	$214,500
12	Pennsylvania	1.34%	$3,675	$274,100
13	Rhode Island	1.30%	$5,077	$390,500
14	Kansas	1.28%	$2,789	$217,900
15	New York	1.24%	$6,419	$517,700
16	Maryland	1.07%	$4,094	$382,800
17	Minnesota	1.02%	$3,222	$315,900
18	North Dakota	0.99%	$2,527	$255,300
19	Missouri	0.97%	$2,007	$206,800
20	Maine	0.96%	$3,026	$315,200
21	South Dakota	0.96%	$2,408	$250,800
22	Oklahoma	0.89%	$1,698	$190,800
23	Indiana	0.85%	$2,108	$248,000
24	Massachusetts	0.84%	$5,217	$621,100
25	Oregon	0.83%	$3,584	$432,100
26	Florida	0.82%	$2,703	$329,600
27	Montana	0.82%	$2,984	$364,000
28	Virginia	0.82%	$3,377	$411,800
29	Mississippi	0.80%	$1,106	$138,300
30	Alaska	0.79%	$3,408	$431,400
31	Washington	0.79%	$4,082	$516,700
32	North Carolina	0.78%	$2,160	$277,200
33	Georgia	0.76%	$2,027	$266,700
34	New Mexico	0.74%	$1,824	$246,500
35	California	0.71%	$4,953	$697,300
36	Idaho	0.69%	$2,188	$317,100
37	Arizona	0.66%	$2,065	$313,000
38	Arkansas	0.63%	$1,113	$176,700
39	Utah	0.57%	$2,065	$362,300
40	Tennessee	0.57%	$1,535	$269,300
41	West Virginia	0.57%	$834	$146,300
42	Delaware	0.57%	$1,857	$325,800
43	South Carolina	0.56%	$1,484	$265,000
44	Wyoming	0.55%	$1,728	$314,200
45	District of Columbia	0.53%	$4,404	$831,200
46	Louisiana	0.52%	$1,059	$203,500
47	Colorado	0.51%	$2,471	$484,500
48	Nevada	0.44%	$1,838	$417,700
49	Alabama	0.37%	$776	$209,800
50	Hawaii	0.27%	$1,971	$730,300

Note: Minor rounding differences appear across sources because state departments of revenue and the Census Bureau update on different cycles. For the latest assessed-value data in your specific county, check your county assessor's website directly. See property tax percentage by state for a deeper breakdown by assessment ratio.

Why do property tax rates vary so much across states?

The gap between Hawaii (0.27%) and New Jersey (2.08%) comes down to four structural factors, and none of them is random.

School funding is the biggest lever. States that pay for public schools mostly through local property taxes, think Illinois, New Jersey, and Texas, need high rates to fill the bucket. States that route more income or sales tax revenue to schools can let property rates run lower. Illinois funds roughly 67% of K-12 education through local sources, against a national average closer to 44% ^[3].

Assessment caps matter almost as much. California's Proposition 13, passed in 1978, capped assessed value increases at 2% per year, which is why the effective rate (0.71%) sits well below states with comparable home prices ^[4]. Florida's Save Our Homes cap works the same way: it limits annual assessment increases to 3% or the CPI change, whichever is less, shielding long-term owners from market spikes ^[5].

The third driver is how much a state leans on property tax overall. New Hampshire has no state income tax and no broad sales tax, so local governments lean on property almost entirely. Wyoming pulls mineral severance taxes from coal and oil, which lets property rates stay low.

Land use is the last piece. Dense states with expensive real estate and old infrastructure (Connecticut, New York) need more revenue per acre to run the same services. That flows straight into higher rates.

Which states have the highest property taxes in dollar terms?

Rate and bill are two different animals. New Jersey wins on both: a 2.08% rate on a median $456,400 home produces roughly $9,488 a year, the highest median bill in the country ^[1].

But watch New York. Its effective rate of 1.24% sounds moderate. The median home value in the 2019-2023 ACS data was $517,700, though, which pushes the median annual bill to about $6,419 ^[1]. Westchester County ranks among the priciest counties in the nation for property taxes, with median bills routinely clearing $15,000 to $18,000 per Census Bureau county-level estimates ^[2].

Connecticut runs the same pattern. A 1.67% rate on a $368,200 median produces a $6,153 median bill, but towns like Greenwich and Darien carry effective bills several times that.

In these states, even a 10% overassessment bleeds you fast. Own a $500,000 home in New Jersey with an assessment $50,000 too high, and you are overpaying roughly $1,040 every year. That is exactly why the how to appeal property taxes in New Jersey process is worth learning before you write another check.

See what states have the highest property taxes for a full breakdown ranked by dollar bill instead of rate.

Which states have the lowest property taxes, and why?

Hawaii lands last by effective rate at roughly 0.27%, but Hawaiian homeowners are far from tax-free. The median home value tops $730,000, so even at 0.27% the median bill runs close to $1,971 a year ^[1]. The rate stays low partly because Hawaii runs one statewide property system rather than hundreds of county systems, and funds schools almost entirely at the state level.

Alabama's low rate (about 0.37%) has a different story. The state constitution caps assessment ratios by property class: owner-occupied homes are assessed at just 10% of market value, and local millage applies to that tiny base ^[6]. A $300,000 home assessed at 10% has a taxable value of $30,000. Apply a 20-mill rate and the bill is $600. The headline rate looks small because the assessment ratio is small.

Louisiana uses a similar structure. Homestead property gets assessed at 10% of fair market value, plus a $75,000 homestead exemption that erases the first chunk entirely for most homes ^[7].

Here is the lesson. A low rate on a ranking table can hide an assessment system that punishes certain property types while being generous to others. Commercial and investment property often carries a far heavier effective burden than the owner-occupied home next door.

For states with minimal or zero property taxation, see states with no property tax and what states don't have property tax.

How does automobile (personal) property tax vary by state?

About half the states also tax personal property, including your car. Live in Virginia and you pay a personal property tax on your vehicle every year. Live in California and you do not. Most people never factor this into a move, and it can swing a household budget by hundreds of dollars a year.

States that tax automobiles include Virginia, Missouri, North Carolina, Mississippi, Connecticut, Rhode Island, South Carolina, Kansas, Indiana, Maine, Wyoming, and Montana, among others. The rates and methods run all over the map. Virginia lets localities set their own rates; Fairfax County's 2024 rate was $4.57 per $100 of assessed value, so a car assessed at $30,000 generates a $1,371 bill ^[8]. Missouri counties apply a rate to a percentage of the car's retail value from a standard guide.

States with no automobile personal property tax include California, New York, Florida, Texas, Pennsylvania, Ohio, and Michigan.

For a state-by-state breakdown, see car property tax by state and personal property tax by state. The automobile property tax by state comparison earns its keep if you are relocating and modeling your full tax picture.

How does your county's assessment ratio affect your real burden?

State rates are fine for comparison. Your actual bill comes from county mechanics. Every county has an assessment ratio (sometimes called the equalization ratio), which is the percentage of market value at which property gets officially assessed.

Most states mandate 100% assessment in theory. In practice, plenty of counties run below that, either by statute or through chronic under-assessment. When New York State's Office of Real Property Tax Services publishes equalization rates each year, many upstate counties come in below 80%, meaning a $200,000 home might sit on the books at $160,000 ^[9].

The effect on your bill depends on how the millage got set. If the county set its millage assuming 100% assessment and your property carries an 80% ratio, you are probably paying slightly less than the statutory rate implies. But if assessments are stale and your neighborhood appreciated while others sat flat, you can end up carrying more than your fair share of the total levy.

That imbalance is the core of most winning appeals: your assessed value does not track market value, or it runs higher than comparable properties assessed under the same rules. Washington County, Minnesota, for one, publishes sales ratio studies through its assessor's office showing how assessed values line up against actual sale prices ^[10]. That data is exactly what you use to build a comparable-sales argument.

For a county-specific look, read washington county mn property tax and shelby county property tax.

Can a high assessment be appealed, and what are the deadlines?

Yes. Every state has an administrative appeal process. The specifics differ hard by state, and missing the deadline is the single most common way homeowners throw away their right to appeal.

A few benchmarks. Illinois requires most Cook County residential appeals within 30 days of the township's assessment notice, and the county publishes a township reassessment calendar each year ^[3]. Texas runs one of the friendlier systems, with a May 15 deadline (or 30 days after the notice, whichever is later) to file a protest with the Appraisal Review Board ^[11]. New York's Grievance Day falls on the fourth Tuesday of May in most counties, though Nassau and Westchester differ ^[9]. Florida VAB petitions must be filed within 25 days of the mailed TRIM notice, typically in mid-September ^[5].

The process generally runs in four steps: (1) you file a written protest or grievance before the deadline, (2) you present evidence that your assessed value exceeds market value or exceeds what comparable properties are assessed at, (3) a local board reviews the claim, and (4) if you lose, most states let you escalate to a state tax court or board of equalization.

The evidence that actually wins is comparable sales (homes like yours that sold below your assessed value) and, sometimes, a recent appraisal. You do not need an attorney or a contingency firm for most residential appeals. Three to six clean comps pulled from the same county assessor's records is usually enough to move the number.

Want a structured walkthrough for your state? TaxFightBack's DIY appeal kit covers the forms, deadlines, and comp-selection method for all 50 states. State-specific guides cover how to appeal property taxes in Texas, how to appeal property taxes in Illinois, how to appeal property taxes in Florida, how to appeal property taxes in Georgia, how to appeal property taxes in New York, and how to appeal property taxes in New Jersey.

What exemptions can lower your property tax regardless of state rank?

Your state's rank matters less if you are leaving exemptions on the table. Most states offer at least three categories of relief, and none of them find you on their own.

Homestead exemptions are the most common. They cut the taxable value of a primary residence by a fixed dollar amount or percentage. Florida removes $50,000 from assessed value for most owner-occupants ^[5]. Georgia's basic homestead exemption is $2,000 off the assessed value, with enhanced versions in many counties running $4,000 to $10,000 ^[12]. Texas homeowners with a general residence homestead exemption get $100,000 off their school district taxable value under HB 5, enacted in 2023 ^[11].

Senior and disability exemptions often stack on top. Many counties add reductions or flat freezes for residents over 65. Illinois has a Senior Citizen Homestead Exemption that trims assessed value by $8,000 in Cook County and $5,000 in the collar counties, plus a Senior Citizen Assessment Freeze that locks assessed value for qualifying low-income seniors ^[3].

Veterans exemptions exist in every state. The amounts range from modest ($1,500 in some counties) to total exemption for 100% disabled veterans in states like Texas, Florida, and Illinois.

The catch with every one of these is that you have to apply. They do not attach automatically in most states. Check your county assessor's website at least once a year to confirm which exemptions are active on your account and whether you qualify for any you have missed.

How should you use state rankings to make relocation decisions?

State rankings are a decent first screen. They will mislead you if you stop there.

The classic blunder is comparing a 1.0% Illinois rate to a 0.8% Florida rate and calling the tax cost 20% lower in Florida. You also have to factor in local millage (which swings hard within a single state), the assessment ratio, the exemptions you qualify for, whether the state also taxes personal property, and how much home values have moved since the last assessment cycle.

A retired couple leaving Winnetka, Illinois (effective rate often above 2.5%) for Palm Beach County, Florida might genuinely cut their property tax bill by 60% on the same dollar-value home once the Save Our Homes cap and homestead exemption kick in. Meanwhile a remote worker leaving rural Ohio (effective rate around 1.0%) for a fast-growing Austin, Texas suburb can find that Texas's 1.42% effective rate plus quickly rising appraisals produces a bigger dollar bill than the one they left.

Run the real math: (projected purchase price) times (local effective rate for your target neighborhood) minus (expected exemptions). Your county assessor's website almost always has a tax estimator tool built for exactly this. Use it.

For a comparison focused on 2024 and 2025 data as assessments update, see property tax by state 2024 and property tax by state 2025.

What is the data source for property tax rankings, and how reliable is it?

Most ranking tables you see, including the one above, pull from two primary sources: the U.S. Census Bureau's American Community Survey (ACS) and the Lincoln Institute of Land Policy's 50-State Property Tax Comparison Study.

The ACS is a rolling survey of about 3.5 million households a year. The 5-year estimates (the current set is 2019-2023) pool five years to hit reliable sample sizes at the county level. The Census asks homeowners straight out what they paid in real estate taxes last year and what they think their home is worth. Both answers carry measurement error, but the sample is large enough that state-level averages hold steady ^[2].

The Lincoln Institute study (published annually, most recent 2024) works differently. It models tax liability on representative hypothetical properties in 73 large cities, using real statutory rates, assessment ratios, and exemption rules. Their study found that "effective tax rates on commercial property are, on average, roughly twice those on owner-occupied residential property in the same city" ^[13]. That finding hits home if you own rental or commercial real estate.

The Tax Foundation blends both sources and adjusts for equalization, which is why its table shows up most often in policy debates ^[1].

The honest caveat: county-level and neighborhood-level variation dwarfs the state-level differences. The Tax Foundation ranking tells you whether you probably live in a high-tax state. It tells you nothing about whether your specific assessment is fair, and that is the question that actually sets your bill.

Frequently asked questions

What state has the highest property tax rate?

New Jersey has the highest effective property tax rate in the country, at approximately 2.08% of home value in the Tax Foundation's 2025 analysis using 2019-2023 Census data. That works out to a median annual bill of about $9,488 on a median home value of $456,400. Illinois ranks second at 1.88%, followed by Connecticut at 1.67%.

What state has the lowest property tax rate?

Hawaii has the lowest effective property tax rate at around 0.27%. Alabama is second-lowest at 0.37%, largely because its state constitution caps residential assessment ratios at 10% of market value. Low rates do not always mean low bills. Hawaii's median home value tops $730,000, so even at 0.27% the typical annual bill still runs close to $2,000.

Which states have no property tax at all?

No U.S. state fully eliminates property tax on real estate. Every state levies some form of it at the local level. A few states have no statewide property tax (the tax is assessed locally), and some offer exemptions that effectively zero out the bill for qualifying senior or disabled homeowners. See our guide on states with no property tax for the full picture.

How do I rank states by property tax for a relocation decision?

Start with the effective rate table (annual tax divided by market value) as a screen, then layer in your target county's millage rate, the current assessment ratio, and every exemption you qualify for. A $400,000 home in a 0.8% state can produce a bigger dollar bill than a $250,000 home in a 1.2% state. The county assessor's tax estimator tool is your best final check.

Do states tax automobiles as personal property?

About half do. Virginia, Missouri, Connecticut, North Carolina, Mississippi, South Carolina, and roughly a dozen others levy annual personal property taxes on vehicles. Virginia's Fairfax County charged $4.57 per $100 of assessed value in 2024, so a car valued at $30,000 produces a $1,371 bill. California, Texas, Florida, and New York do not tax personal vehicles this way.

Why does Texas rank so high in property taxes despite having no state income tax?

Texas has no state income tax and no state property tax, but it funds schools and local government almost entirely through local property taxes. The result is an effective rate around 1.42%, seventh highest nationally. Fast-rising appraisals in Austin, Dallas, and Houston have amplified dollar bills even when rates held steady, pushing Texas well above the national median in actual annual payments.

How does California's Proposition 13 affect its property tax ranking?

Proposition 13, passed in 1978, caps assessed value increases at 2% per year regardless of market appreciation and sets the base rate at 1% of assessed value. This produces a 0.71% effective rate despite some of the highest home prices in the country. Long-term owners often pay far less than new buyers, who get assessed at current market value at purchase.

What is the difference between a property tax rate and an assessment ratio?

The statutory rate (millage) applies to your assessed value, not your market value. The assessment ratio is the fraction of market value your property is officially assessed at. If your home is worth $400,000, assessed at 50%, the taxable value is $200,000. Apply a 2% rate and the bill is $4,000, identical to a 1% rate on full value. Effective rate combines both.

Can I appeal my property tax assessment if my state ranks low on property taxes?

Yes. The right to appeal is independent of where your state ranks overall. Even in Alabama, where statewide rates are second-lowest in the country, an individual property can be over-assessed relative to its market value or relative to comparable properties. Every state has an administrative appeal process, and most residential appeals do not require an attorney.

What is the deadline to appeal property taxes?

Deadlines vary sharply by state. Texas allows until May 15 or 30 days after the notice. New York's Grievance Day is the fourth Tuesday of May in most counties. Florida VAB petitions must be filed within 25 days of the TRIM notice. Illinois Cook County windows depend on the township reassessment calendar. Check your county assessor's website for your specific date; missing it waives your appeal for that year.

How much can I save by appealing a property tax assessment myself?

Nobody has clean national data on average DIY appeal savings. The Lincoln Institute found effective rates on similar properties within the same city can vary by 20% to 30% because of assessment inconsistency. If your home is assessed 15% above market value in New Jersey at a 2.08% rate, correcting that on a $500,000 home saves roughly $1,560 a year, every year going forward, for one year of appeal work.

Is the property tax rank by state the same every year?

The top and bottom of the rankings are stable, but mid-range states shift year to year as home values, local budgets, and assessment cycles change. States seeing rapid home-price growth (Texas, Florida, Idaho from 2020 to 2023) can see their effective rates move as assessed values catch up to market. Always check the vintage of any ranking table you use.

Do renters pay property taxes?

Renters do not pay property tax directly, but most economists believe landlords pass the cost through in rent. In high-property-tax states like New Jersey and Illinois, the burden baked into rent is substantial. Some states, including Minnesota, offer renter property tax refunds or credits that partially offset this through the income tax system.

What exemptions most reliably reduce a property tax bill?

Homestead exemptions reach the widest: Florida offers $50,000 off assessed value, Texas offers $100,000 off school district value, and Georgia offers at least $2,000 off. Senior freeze programs (Illinois, Georgia, others) can lock assessed value for qualifying older homeowners. Veterans with 100% disability ratings receive full exemptions in Texas, Florida, and Illinois, among other states. All require an application.

Sources

1. U.S. Census Bureau, American Community Survey 5-Year Estimates: Median home values and median real estate taxes paid by state, used to calculate effective rates
2. California State Board of Equalization, Proposition 13 Overview: Proposition 13 caps assessed value increases at 2% per year and base rate at 1%
3. Florida Department of Revenue, Property Tax: Florida homestead exemption of $50,000 and Save Our Homes 3%/CPI assessment cap; VAB 25-day filing deadline
4. Alabama Department of Revenue, Property Tax Division: Alabama owner-occupied residential property assessed at 10% of market value per state constitution
5. Louisiana State Legislature, Louisiana Constitution Art. VII Sec. 20: Louisiana homestead exemption of $75,000 and 10% assessment ratio for owner-occupied residential property
6. Fairfax County, Virginia, Department of Tax Administration: Fairfax County 2024 personal property tax rate of $4.57 per $100 of assessed value for automobiles
7. New York State Department of Taxation and Finance, Real Property Tax: New York Grievance Day falls on the fourth Tuesday of May in most counties; equalization rates published annually
8. Texas Comptroller of Public Accounts, Property Tax: Texas protest deadline of May 15 or 30 days after notice; $100,000 homestead school district exemption under HB 5 (2023)
9. Lincoln Institute of Land Policy, '50-State Property Tax Comparison Study, 2024': "Effective tax rates on commercial property are, on average, roughly twice those on owner-occupied residential property in the same city"