Property tax is often the largest annual tax bill for homeowners — larger than state income tax for many middle-class families. Yet it varies enormously by state. New Jersey and Illinois are tied for the highest average effective rate in the US (1.88% each) — nearly 6.5× higher than Hawaii's (0.29%). For a homeowner with a $500,000 home, that's a $7,950 difference in annual tax. This hub compiles all our state-vs-state property tax comparison pages, plus quick reference data for every state.
Our detailed property tax comparison pages show exact annual costs for a sample home, homestead exemption values, senior exemptions, and the net saving from moving between states:
| State | Effective Rate | Annual Tax ($400K Home) | Homestead Exemption | Notes |
|---|---|---|---|---|
| Hawaii | 0.29% | $1,160 | $100,000 off assessed value | Lowest rate; very high home values |
| Alabama | 0.37% | $1,480 | $4,000–$16,000 off assessed | Strong senior circuit breaker |
| Nevada | 0.50% | $2,000 | $1,000 off assessed value | No income tax; best overall |
| Arizona | 0.48% | $1,920 | $3,965 off EAV | Primary residence assessment ratio 10% |
| South Carolina | 0.49% | $1,960 | 4% ratio for primary residence + $50,000 senior exemption | Act 388 exempts owner-occupied homes from school operating tax |
| Tennessee | 0.52% | $2,080 | No general homestead exemption; Property Tax Relief for seniors/disabled/veterans | No state property tax; local county/city rates only |
| Indiana | 0.76% | $3,040 | $48,000 standard + 40% supplemental deduction | 1% circuit breaker cap on homestead property tax |
| Missouri | 0.89% | $3,560 | No general homestead exemption; Property Tax Credit circuit breaker | Biennial reassessment; SB 190 senior tax freeze (county opt-in) |
| Oklahoma | 0.79% | $3,160 | $1,000 flat + $1,000 additional (income-qualified) | County-set 11%-13.5% assessment ratio; 3% value growth cap |
| Washington DC | 0.60% | $2,400 | $91,950 Homestead Deduction | Not a state; annual reassessment; 50% senior/disabled reduction |
| Colorado | 0.51% | $2,040 | $100,000 off actual value (50% of first $200,000) | Gallagher Amendment limits; TABOR |
| Florida | 0.78% | $3,120 | $50,000 + Save Our Homes cap | No income tax; overall excellent |
| Georgia | 0.79% | $3,160 | $2,000 off assessed; county extras | $65K retirement exemption (65+) |
| California | 0.70% | $2,800 | Prop 13: 1% cap + 2% annual increase limit | Prop 19 transfer rules; income tax 13.3% |
| Virginia | 0.78% | $3,120 | Varies by locality | Personal property tax on vehicles extra |
| Maryland | 0.92% | $3,680 | $300 credit; Homestead cap | County income tax 2.25–3.2% extra |
| Oregon | 0.81% | $3,240 | No general homestead exemption; Senior/Disabled Deferral Program | Measure 50 caps assessed value growth at 3%/year; no sales tax |
| Minnesota | 1.02% | $4,080 | Market Value Homestead Credit | High income tax on SS + pensions |
| Ohio | 1.36% | $5,440 | $29,000 off assessed value | School district income tax extra |
| Michigan | 1.19% | $4,760 | Principal Residence Exemption (18 mill reduction) | No property tax on primary if PRE applied |
| Pennsylvania | 1.26% | $5,040 | Varies; Homestead Act; senior freeze | No pension/retirement income tax |
| New York | 1.30% | $5,200 | STAR (Basic: ~$293 credit) | NYC adds city income tax 3.876% |
| Texas | 1.40% | $5,600 | $100,000 off assessed value (2023) | No income tax; but property burden is real |
| Wisconsin | 1.32% | $5,280 | Up to $300 credit | Taxes pension income; double burden |
| Illinois | 1.88% | $7,520 | $10,000 off EAV (General Homestead) | Tied for #1 US (with NJ); exempts all retirement income |
| New Jersey | 1.88% | $7,520 | ANCHOR program up to $1,750 | Tied for #1 US (with IL) |
There is often confusion between a state's statutory tax rate (levied rate) and the effective rate (actual tax paid as % of market value). Key reasons they differ:
Many states assess property at a fraction of market value. Arizona assesses residential property at 10% of market value — so a $400,000 home is assessed at $40,000, and a nominal rate of 5% produces an effective rate of 0.5% ($2,000). The effective rate is always the most useful figure for comparing states.
Exemptions reduce taxable assessed value. Texas's $100,000 homestead exemption (as of 2023) removes $100,000 from the assessed value before the tax rate applies. For a $300,000 assessed home, the effective rate is applied to $200,000 — significantly reducing the effective burden.
Florida's 'Save Our Homes' cap limits assessed value increases to 3% per year for primary residences. Over time, long-term residents' effective rates fall well below the nominal rate as market values rise faster than assessments. California's Proposition 13 works similarly, capping assessed value increases at 2% per year.
Property tax is almost entirely a local government function. The state rate is often a small component — most property tax is levied by counties, municipalities, school districts, and special districts. Illinois has 7,000+ taxing districts. Texas's effective property tax rate is the sum of city + county + school district + hospital district + junior college district rates.
CountryTaxCalc.com is reader-supported. When you use our partner links, we may earn a commission at no cost to you. Learn more about our affiliate partnerships
★ 4.8 verified reviews · 3,758 reviews
Property tax planning — homestead exemptions, assessment appeals, and the interaction of property and income tax in a state move — benefits from local CPA expertise. Get matched with a CPA who knows your state's property tax system.
⚠ Not for simple single-state returns. Free filing is fine for straightforward W-2 situations.
Get Matched With a CPA →Interested in reaching this audience? Advertise on CountryTaxCalc →