Understanding the complex web of property taxes may be challenging, especially because of the frequent fluctuations in rates & laws. This understanding is crucial for taxpayers looking for States With the Lowest Property Taxes in 2025.
For example, Hawaii has the lowest property tax rate in the US (0.29%), while New Jersey has the highest tax rate(2.47%). So, you need to make this decision wisely.
If you are curious about the levels of property taxes in the United States, here are the top 10 states with lowest property tax rates.
Top 10 States With the Lowest Property Taxes:
Let’s explore the top low states nyt. The Census Bureau’s 2022 1-year American Community Survey (ACS) Estimates are the source of all the information below. So let’s dive in;
- Hawai
In 2024, Hawaii’s effective property tax rate was 0.29%, the lowest in the U.S., and the state had the fifth-highest median household income.
At $662,100, the typical home value in Hawaii is more than double that of New Jersey, which has the highest property tax rate at 2.47% ($355,700).
The average annual property tax payment for Hawaiian homeowners is $1,893.
As of Q2 2024, Hawaii has the highest cost of living in the U.S., according to the Consumer Price Index (CPI).
In Hawaii, the effective property tax rate is 0.31%, which means that for a typical home valued at $850,343.12.
Also, Hawaii’s annual taxes amount to $2,636.06, while the median household income is $92,458.
- Alabama
Alabama is among the most affordable states, with a property tax rate of 0.41%. This low property tax rate and home prices are much lower than the average home value in the U.S.
Which is $361,282 as of August 31, 2024, making Alabama one of the most affordable states for homeowners.
The median home value in Alabama is $157,100, about $125,000 less than the national median of $281,900.
Also, Homeowners in Alabama pay around $646 in property taxes yearly. At $662,100, the typical home value in Hawaii is more than
With the fourth-lowest cost of living in the nation in 2024, it’s also among the most reasonably priced states.
- Colorado
Colorado has the 3rd lowest property tax rate, at 0.51%.
The median home value is $397,500, about $82,000 more than Nevada’s.
This is the 6th highest home value, following Hawaii, D.C., California, Massachusetts, and Washington.
While the tax rate is low, the higher home prices mean homeowners face the biggest tax bills compared to other states. Homeowners pay around $2,017 in property taxes each year.
- Nevada
Nevada has the 4rth lowest property tax rate at 0.55%.
The median home value is around $315,900, which is $34,000 higher than the national median of $281,900.
Nevada homeowners pay about $1,736 in property taxes each year, which is $1,133 less than the U.S. median.
- South Carolina
South Carolina has the 5th lowest property tax rate at 0.56%.
The median home value is $181,800, over $100,000 less than the U.S. median.
Homeowners pay about $1,024 in property taxes yearly, which is $1,845 less than the national average.
- Louisiana
Louisiana has the 6th lowest property tax rate in the U.S. at 0.56%. Its median home value is $174,000, which is the 13th lowest.
Homeowners pay about $983 in property taxes yearly, over $1,886 less than the national average.
- District of Columbia
Washington D.C.’s property tax rate is 0.57%, which makes it the 7th lowest in the country.
However, its median home value is the 2nd highest, at $635,900.
Homeowners pay about $3,641 in property taxes each year, nearly $800 more than the national average.
- Utah
Utah has the 8th lowest property tax rate in the United States, at 0.58%.
The median home value is high, at $339,700, ranking ninth in the nation, although taxes are lower than average.
- Delaware
Delaware’s property tax rate is 0.58%, the 9th lowest in the U.S.
The median home value is $269,700, just below the national average of $281,900.
Homeowners pay about $1,570 in property taxes yearly, nearly $1,300 less than the national average.
- West Virginia
West Virginia’s property tax rate is 0.59%, making it one of the states with the lowest rates.
At $128,800, the typical home value is $153,100 less than the national average of $281,900.
The annual property tax homeowners pay is approximately $756, which is $2,113 less than the median for the United States.
Property Tax Figures for All 50 States and Washington, D.C.
We evaluate each state according to its effective property tax rate, median real estate taxes paid, and median house value.
The data is from the Census Bureau’s 2022 1-year American Community Survey (ACS) Estimates.
| State Name | Home Median Value | Median Real Estate Taxes Paid | Property Tax Rates |
|---|---|---|---|
| USA | $281,900 | $2,869 | 101.77% |
| Alabama | $157,100 | $646 | 41.12% |
| Alaska | $282,800 | $3,464 | 122.49% |
| Arizona | $265,600 | $1,648 | 62.05% |
| Arkansas | $142,100 | $878 | 61.79% |
| California | $573,200 | $4,279 | 74.65% |
| Colorado | $397,500 | $2,017 | 50.74% |
| Connecticut | $286,700 | $6,153 | 214.61% |
| Delaware | $269,700 | $1,570 | 58.21% |
| District of Columbia | $635,900 | $3,641 | 57.26% |
| Florida | $248,700 | $2,143 | 86.17% |
| Georgia | $206,700 | $1,850 | 89.50% |
| Hawaii | $662,100 | $1,893 | 28.59% |
| Idaho | $266,500 | $1,682 | 63.11% |
| Illinois | $212,600 | $4,744 | 223.14% |
| Indiana | $158,500 | $1,308 | 82.52% |
| Iowa | $160,700 | $2,522 | 156.94% |
| Kansas | $164,800 | $2,355 | 142.90% |
| Kentucky | $155,100 | $1,320 | 85.11% |
| Louisiana | $174,000 | $983 | 56.49% |
| Maine | $212,100 | $2,722 | 128.34% |
| Maryland | $338,500 | $3,633 | 107.33% |
| Massachusetts | $424,700 | $5,091 | 119.87% |
| Michigan | $172,100 | $2,551 | 148.23% |
| Minnesota | $250,200 | $2,767 | 110.59% |
| Mississippi | $133,000 | $1,052 | 79.10% |
| Missouri | $171,800 | $1,676 | 97.56% |
| Montana | $263,700 | $2,189 | 83.01% |
| Nebraska | $174,100 | $2,916 | 167.49% |
| Nevada | $315,900 | $1,736 | 54.95% |
| New Hampshire | $288,700 | $6,036 | 209.08% |
| New Jersey | $355,700 | $8,797 | 247.32% |
| New Mexico | $184,800 | $1,470 | 79.55% |
| New York | $340,600 | $5,884 | 172.75% |
| North Carolina | $197,500 | $1,583 | 80.15% |
| North Dakota | $209,900 | $2,092 | 99.67% |
| Ohio | $159,900 | $2,447 | 153.03% |
| Oklahoma | $150,800 | $1,351 | 89.59% |
| Oregon | $362,200 | $3,352 | 92.55% |
| Pennsylvania | $197,300 | $3,022 | 153.17% |
| Rhode Island | $292,600 | $4,483 | 153.21% |
| South Carolina | $181,800 | $1,024 | 56.33% |
| South Dakota | $187,800 | $2,331 | 124.12% |
| Tennessee | $193,700 | $1,270 | 65.57% |
| Texas | $202,600 | $3,520 | 173.74% |
| Utah | $352,100 | $2,315 | 65.75% |
| Vermont | $255,000 | $4,287 | 168.94% |
| Virginia | $288,800 | $2,663 | 92.23% |
| Washington | $409,000 | $3,998 | 97.75% |
| West Virginia | $138,700 | $692 | 49.90% |
| Wisconsin | $197,200 | $3,318 | 168.29% |
| Wyoming | $251,300 | $1,658 | 66.00% |
Last words:
When you’re getting ready to buy a home, you must consider property taxes, which can vary depending on where you live.
For example, homeowners in New Jersey pay the most, at $8,797 a year, more than 3times the national average of $2,869.
On the other hand, Alabama homeowners pay only $646, the lowest in the country. Understanding these differences can help you plan your budget better.
At Goldmine Tax Services, we’re here to help you with property taxes and make the process easier.
Let us assist you so you can focus on finding your perfect home!
FAQs
Are There Any States With No Property Taxes?
All 50 states & the District of Columbia impose property taxes. Some individuals may qualify for property tax exemptions, such as homestead exemptions for older homeowners, people with disabilities, military veterans, or homeowners who make specific renovations or install renewable energy systems.
What states are best to avoid taxes?
Alaska, Nevada, South Dakota, Tennessee, Texas, Washington, and Wyoming are the only states that do not impose a state income tax.
Which state property tax is the lowest?
Property taxes can really affect your budget when buying a home. Hawaii has the lowest property tax rate in the U.S. at 0.29%. Alabama is known to be one of the more affordable states. Colorado has the third-lowest property tax rate at 0.51%.
