Homeowners’ property taxes rose last year, according to a new analysis. See which states have the highest payments.
Property taxes for homeowners in the United States increased in 2023, according to a new analysis by ATTOM, a provider of property and real estate data.
Homeowners saw their property taxes rise by an average of 4.1%, based on the analysis of over 89 million single-family homes. This translates to a tax bill of $4,062.
“Property taxes took an unusually sharp turn upward last year, pushing effective rates higher, while enormous gaps in average tax bills remained between different parts of the country,” said Rob Barber, CEO of ATTOM in the report.
“The tax increases were likely tied, at least in part, to inflationary pressures on the cost of running local governments and schools, along with rising public employee wages and other major expenses,” he added.
States With the Highest Property Taxes in the U.S.
The 10 states with the highest property tax rates are in the Northeast and Midwest, with rates ranging from 1.25% to 1.88%. Here’s the list:
- Illinois (1.88%)
- New Jersey (1.64%)
- Connecticut (1.54%)
- New York (1.46%)
- Nebraska (1.46%)
- Ohio (1.37%)
- Pennsylvania (1.33%)
- Vermont (1.29%)
- Kansas (1.26%)
- New Hampshire (1.25%)
States With the Lowest Property Taxes in the U.S.
On the other hand, the 10 states with the lowest property tax rates are in the South and West, with rates ranging from 0.31% to 0.49%. Here’s the list:
- Hawaii (0.31%)
- Arizona (0.41%)
- Alabama (0.42%)
- Delaware (0.43%)
- Tennessee (0.44%)
- Idaho (0.44%)
- Utah (0.45%)
- Nevada (0.48%)
- Colorado (0.48%)
- West Virginia (0.49%)
Cities With the Highest and Lowest Property Taxes
Metropolitan areas with at least 200,000 residents that have the highest property tax rates include: Akron, OH (2.71%); Rockford, IL (2.41%); Champaign, IL (1.95%); Trenton, NJ (1.94%); and Peoria, IL (1.91%).
The highest effective rates among metropolitan areas with a population of at least 1 million were in Chicago, IL (1.84%); Rochester, NY (1.77%); Hartford, CT (1.76%); Cleveland, OH (1.66%); and Columbus, OH (1.45%).
Meanwhile, metropolitan areas with the lowest rates are Daphne-Fairhope, AL (0.27%); Salisbury, MD (0.30%); Honolulu, HI (0.31%); Knoxville, TN (0.32%); and Tuscaloosa, AL (0.32%).
Aside from Honolulu, the lowest rates among metropolitan areas with a population of at least 1 million were in Phoenix, AZ (0.38%); Nashville, TN (0.45%); Las Vegas, NV (0.48%); and Salt Lake City, UT (0.49%).
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