Property Taxes By State

Property Taxes By State

Owning a rental property comes with a lot of financial responsibilities. One of those is paying property taxes. As a landlord, you must be aware of how much you’ll be expected to pay in property taxes each year.

To help you plan for your 2022 expenses, we’ve compiled a list of property tax comparison by state. This information can help you budget for your upcoming tax bill and ensure you’re prepared come tax season.

Average property tax by state

Alabama – 0.43%
Alaska – 0.69%
Arizona – 0.72%
Arkansas – 0.49%
California – 0.75%
Colorado – 0.52%
Connecticut – 0.79%
Delaware – 0.56%
Florida – 0.98%
Georgia – 0.65%
Hawaii – 0.27%
Idaho – 0.57%
Illinois – 0.75%
Indiana – 0.87%
Iowa – 0.81 %
Kansas – 0.78 %
Kentucky – 0.89 %
Louisiana – 0.96 %
Maine – 0 .84 %
Maryland – 0.92 %
Massachusetts – 0.61 %
Michigan – 0.56 %
Minnesota – 0.70 %
Mississippi – 0.66 %
Missouri – 0.89 %
Montana – 0.58 %
Nebraska – 0.77%
Nevada – 0.63%
New Hampshire – 0.87%
New Jersey – 0.81%
New Mexico – 0.69%
New York – 0.88%
North Carolina – 0.79%
North Dakota – 0.59%
Ohio – 0.85%
Oklahoma – 0.91%
Oregon – 0.57%
Pennsylvania – 0.94%
Rhode Island – 0.67%
South Carolina – 0.63%
South Dakota – 0.60%
Tennessee – 0.79%
Texas – 0.86 %
Utah – 0.57 %
Vermont – 0.78 %
Virginia – 0.70 %
Washington – 0.64 %
West Virginia – 0.62 %
Wisconsin – 0.70 %
Wyoming – 0.61%

As you can see, property tax rates vary widely from state to state. In some states, like Hawaii and Alabama, the average rate is less than one percent. The rate is closer to one percent in others, like New Jersey and New York.

You can find out how much you’ll owe in property taxes by contacting your local tax assessor. They can estimate your taxes based on the value of your property and the tax rate in your area.
Another helpful resource is your local county website. Many counties have an online real estate taxes by state calculator that you can use to estimate your taxes. Simply enter your property’s value and the tax rate for your area, and the calculator will give you an estimate of your annual property taxes.

If you’re unsure where to start, you can use a search engine like Google to find contact information for your local tax assessor or county website. Just type in “property tax,” followed by your state or county name. For example, if you live in Maricopa County, Arizona, you would search for “Maricopa County property tax.”

Knowing how much you’ll owe in property taxes each year allows you to budget accordingly and avoid any financial surprises. Check with your local tax office for more information on how to lower your property taxes.

Average property tax by state

Can I lower my property tax?

Now that you know how much you’ll be paying in property taxes, you may wonder how you can lower your bill. While there’s no guaranteed way to lower your taxes, there are a few things you can do to try to reduce the amount you owe each year.

Some common ways to lower your property taxes include:

  • Appealing your Assessment

If you think your property has been incorrectly assessed, you can file an appeal with your local tax assessor. What the assessor decides will determine your tax bill for the year, so it’s worth taking the time to file an appeal if you think you’re being taxed unfairly.

  • Paying Your Taxes Early

In some states, you can get a discount on your property taxes if you pay them early. Check with your local tax office to see if this is an option in your state. Even though the discount may be small, it can still save you money over the course of the year.

  • Consider Senior Citizen Exemptions

You may be eligible for a property tax exemption if you’re a senior citizen. This exemption can lower your taxes by a certain percentage or exempt you from paying taxes altogether. Each state has different eligibility requirements, so check with your local tax office to see if you qualify.

  • Make Use Of Tax Breaks

Many states offer tax breaks to landlords who rent to low-income tenants. If you participate in a government-sponsored program like this, you may be able to lower your property taxes. Check with your state’s housing agency to see if any programs are available.

Parting Shot

While we all hope our property taxes will be as low as possible, the fact is that they are a vital part of owning a home. By understanding how your state’s tax system works and what exemptions or discounts may be available, you can ensure your property taxes are fair and reasonable.

Share this article:

Leave a Comment

Your email address will not be published.