This Surprising State Has the Lowest Property Tax Burden

This Surprising State Has the Lowest Property Tax Burden
Photo by Fertas / Shutterstock.com

Looking to save a little cash? Here’s a suggestion you won’t hear every day: Move to Hawaii.

The state with a notoriously high cost of living unexpectedly offers you the best deal on property taxes, according to a recent analysis from WalletHub.

As part of the analysis, WalletHub ranked every U.S. state and the District of Columbia by their real-estate property tax rates, which the website based on the median real-estate tax payment and median home price for each state.

The 10 states with the lowest real-estate property tax burdens are:

  • Hawaii: 0.27 percent effective real-estate tax rate
  • Alabama: 0.42 percent
  • Louisiana: 0.52 percent
  • Colorado: 0.55 percent
  • District of Columbia: 0.55 percent
  • Delaware: 0.56 percent
  • South Carolina: 0.57 percent
  • West Virginia: 0.59 percent
  • Wyoming: 0.61 percent
  • Arkansas: 0.63 percent

The state with the highest rate is New Jersey (2.44 percent), followed by Illinois (2.31 percent) and New Hampshire (2.20 percent).

As WalletHub points out, property taxes actually impact us all, homeowners and renters alike:

“We all pay property taxes, whether directly or indirectly, as they impact the rent we pay as well as the finances of state and local governments.”

How to trim your property tax bill

Nobody likes paying property taxes, but being told to pony up for more than is justified is even worse.

Sometimes, a homeowner can have the sneaking suspicion that taxing authorities have appraised a property value beyond the home’s true worth. If you appeal this verdict, you can get your local board of assessment to change its mind and lower your tax costs.

Sound impossible? Not according to Money Talks News founder Stacy Johnson, who has successfully appealed his property taxes in two states. To learn about a two-step appeal process that might save you a bundle, check out “Ask Stacy: How Can I Fight My Property Taxes?

If property taxes are crushing you and you are of a certain age, you might be able to put off the day of reckoning. For more, check out “12 States Where Older Homeowners Can Defer Property Taxes.”

How do you feel about your state’s property taxes? Sound off in comments below or on our Facebook page.

Popular Articles

5 Reasons You Should Not Delay Retirement
5 Reasons You Should Not Delay Retirement

Waiting until age 70 to retire isn’t for everyone. Could you be waiting too long to quit the 9-to-5 grind?

Don’t Want to Owe Taxes After You Die? Avoid These 17 States
Don’t Want to Owe Taxes After You Die? Avoid These 17 States

In one state, the tax man is especially tough on the estates of those who shake off this mortal coil.

My Secret to Cleaning a Dirty Microwave in Less Than 30 Seconds
My Secret to Cleaning a Dirty Microwave in Less Than 30 Seconds

The secret isn’t fancy or expensive. It’s not elbow grease, either.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Comments