Enter your home value to see your annual property tax bill for all 50 states — ranked from highest to lowest. Rates from New Jersey's 2.42% to Hawaii's 0.28%.
Property tax rates vary from 0.28% in Hawaii to 2.42% in New Jersey, creating an 8.6× difference in annual costs. On a $300,000 home, you'd pay just $840/year in Hawaii versus $7,260/year in New Jersey — for the same home value. The property tax calculator by state above lets you enter your specific home value to see the real numbers.
Property taxes in the United States are set locally — by county, city, and school district — so rates within a single state can vary significantly. The statewide effective rates shown here are medians, based on Tax Foundation analysis and U.S. Census Bureau ACS data.
States with no income tax often rely on property taxes to fund government. Texas has 0% income tax but 1.60% property tax (7th highest nationally). New Hampshire has no income tax but 2.05% property tax (4th highest). Florida is the exception — it funds government through tourism taxes and keeps property tax moderate at 0.86%.
Conversely, high-income-tax states often have lower property rates: California has a 13.3% top income tax rate but only 0.74% property tax (kept low by Proposition 13). Hawaii has 11% top income tax and just 0.28% property tax — funded by tourism revenue.
Property taxes primarily fund local services:
States with top-ranked school systems consistently have higher property taxes — New Jersey (#1 ranked schools), Connecticut, and Massachusetts all rank in the top 10 for property tax rates.
A low tax rate doesn't always mean a low tax bill. California's 0.74% rate on a $750,000 median home produces a $5,550 annual bill — similar to Illinois's 2.08% rate on a $250,000 median home ($5,200). When comparing states, always calculate the actual dollar amount using your expected home value — the calculator above makes this instant.
Of the 9 states with no income tax, property taxes vary widely. See how they compare:
| State | Income Tax | Property Tax Rate | Tax on $300K Home | Why |
|---|---|---|---|---|
| Wyoming | None (0%) | 0.56% | $1,680/yr | Mineral extraction taxes fund government |
| Tennessee | None (0%) | 0.67% | $2,010/yr | Sales tax (9.55%) is primary revenue source |
| Nevada | None (0%) | 0.60% | $1,800/yr | Gaming taxes generate $1B+/year |
| Florida | None (0%) | 0.86% | $2,580/yr | Tourism taxes + $50K homestead exemption |
| South Dakota | None (0%) | 1.14% | $3,420/yr | No alternative revenue sources |
| Alaska | None (0%) | 1.19% | $3,570/yr | Oil revenue offsets; PFD dividend paid to residents |
| Washington | None (0%) | 0.98% | $2,940/yr | High sales tax (6.5%) + business taxes |
| Texas | None (0%) | 1.60% | $4,800/yr | Property funds schools; $100K homestead for school tax |
| New Hampshire | None (0%) | 2.05% | $6,150/yr | No sales tax either — property tax carries the load |
See full income + property tax comparison: Texas vs Florida → · California vs Texas →
The SALT (State and Local Tax) deduction cap was significantly raised by the One Big Beautiful Bill Act (OBBBA) signed in 2025:
Example (MFJ): $9,500 property tax + $18,000 state income tax = $27,500 total SALT — now fully deductible under the $40,000 MFJ cap. Previously, $17,500 of this would have been non-deductible.
See the USA federal tax calculator to model how property tax deductions affect your overall federal tax bill.
New Jersey has the highest property tax rate in 2026 at 2.42%. On a $300,000 home that's $7,260/year; on a $500,000 home it's $12,100/year. New Jersey's high rates fund top-tier public schools (ranked #1 nationally), extensive municipal services, and high public employee benefits. The median annual property tax bill in New Jersey exceeds $8,700 — the highest in the nation.
Hawaii has the lowest property tax rate at 0.28%. On a $300,000 home that's just $840/year. Hawaii keeps rates low because the state generates substantial revenue from tourism taxes and high income taxes (up to 11%). Note: Hawaii's median home value is over $820,000, so the actual median property tax bill is around $2,300/year despite the low rate.
Property tax = Assessed Value × Tax Rate. Your local assessor determines your home's assessed value (typically 80–100% of market value, varying by state). The local tax rate — set by your county, city, and school district — is then applied. Example: $400,000 home × 1.5% rate = $6,000 annual property tax. Rates are sometimes expressed in mills: 1 mill = $1 per $1,000 of assessed value.
A homestead exemption reduces your home's assessed value before property tax is calculated, lowering your bill. The best exemptions are Florida ($50,000 off assessed value), Texas ($100,000 for school taxes), Louisiana ($75,000), Nevada ($75,000), and Hawaii ($140,000–$300,000). Most exemptions apply only to primary residences. Example: A Florida home assessed at $350,000 with $50,000 exemption is taxed on $300,000 instead.
Yes — and the deduction limit was significantly raised for 2026–2029. The SALT (State and Local Tax) cap was raised by the OBBBA to $40,000 for married filing jointly and $20,000 for single filers (up from $10,000 for both). Married filing separately remains $10,000. The cap phases out by $0.30 per dollar for MAGI above $500,000 and reverts to $10,000 in 2030 unless extended. High earners in high-tax states (NJ, NY, CT, CA) benefit most.
Texas relies on property taxes to fund schools and local services instead of income tax. At 1.60% (7th highest nationally), a $300,000 home pays $4,800/year. Property taxes fund about 60% of Texas school district budgets. Texas does offer a $100,000 homestead exemption for school taxes, reducing the burden on primary residences. For high earners, avoiding Texas income tax ($12,000–$50,000+ in saved taxes) typically outweighs higher property taxes.
California Proposition 13 (1978) caps property tax increases at 2% per year, regardless of how much market values rise, until the property sells. At sale, it's reassessed at purchase price. Example: A home bought in 2005 for $400,000, now worth $1.2M, is still taxed near its 2005 purchase price × 2%/year compounding — dramatically lower than the current market rate × 0.74%. This creates large savings for long-term owners but means new buyers pay much higher taxes than neighbors who've owned longer.
Many states offer senior property tax relief. Top benefits: Texas (age 65+ get a 100% school tax freeze — saves $4,000+/year), Florida (additional $50,000 homestead exemption for age 65+ beyond the standard $50,000), Georgia (age 65+ get up to $60,000 exemption), Illinois (Senior Freeze prevents increases for incomes under $65,000), and Alabama (age 65+ may qualify for $160,000 exemption). Eligibility usually requires age 65+, primary residence, and income limits.
Assessment frequency varies by state. Most states reassess annually or biennially based on market conditions. California (Prop 13) and some others only reassess when property is sold or substantially improved — assessed value can increase at most 2%/year otherwise. When you buy a home, it's typically reassessed at the purchase price. Major improvements like additions or renovations usually trigger a reassessment of the increased portion.
Yes, and it's worth attempting if your assessed value seems too high. The process: (1) Review your assessment notice for factual errors — wrong square footage, wrong number of bedrooms. (2) Research comparable recent sales to prove overvaluation. (3) File an appeal with your local board of review within the deadline, typically 30–60 days after the assessment notice. Success rates for appeals range from 30–50%. Potential annual savings can reach $500–$5,000+. Some areas have property tax consultants who take a percentage of savings.
Of the 9 states with no income tax, property taxes vary widely. Wyoming has the lowest at 0.56% ($1,680 on a $300K home), followed by Tennessee at 0.67%, Nevada at 0.60%, Florida at 0.86%, and Washington at 0.98%. Texas (1.60%) and New Hampshire (2.05%) have the highest among no-income-tax states. Wyoming offers the best combination of no income tax and low property tax; Florida balances moderate property tax with strong homestead exemptions and warm climate.
The national average effective property tax rate in 2026 is approximately 1.01%, resulting in $3,030/year on a $300,000 home and $5,050/year on a $500,000 home. However, this median masks enormous variation — rates range from 0.28% (Hawaii) to 2.42% (New Jersey), an 8.6× difference. The Midwest and Northeast states tend to have the highest rates; the South and Mountain West tend to have the lowest.