The states with the highest and lowest property taxes in America right now
WalletHub calculated the average property tax rate in each state to find where they are most and least burdensome
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Whether you own or rent, we’re all affected by property taxes.
Property taxes influence the price of homes and rent, and help determine how much money the government has to spend on your area.
But not all Americans pay the same amount. Some states have almost no property taxes, while other states charge residents thousands of dollars every year on even modest homes.
“Americans who are considering moving and want to maximize the amount of money they take home should take into account property tax rates, in addition to other financial factors like the overall cost of living, when deciding on a city,” said WalletHub analyst Chip Lupo.
Continue reading to see the 4 states with the highest rate, and the four with the lowest, according to WalletHub's latest ranking for 2026.
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4th lowest (tie): Arizona, Colorado, South Carolina
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Arizona, Colorado, and South Carolina all tied for the fourth-lowest effective real-estate tax rate of just 0.48%. The annual taxes on a home of $332.7k are just around $1,600 for residents there.
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3rd lowest: Nevada
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Nevada ranked third lowest with an effective real-estate tax rate of just 0.47%. The annual taxes on a home of $332.7k are just $1,549 for residents there.
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2nd lowest: Alabama
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Alabama ranked second lowest with an effective real-estate tax rate of just 0.38%. The annual taxes on a home of $332.7k are just $1,249 for residents there.
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Lowest: Hawaii
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Alabama ranked first for lowest taxes with an effective real-estate tax rate of just 0.27%. The annual taxes on a home of $332.7k are just $888 for residents there.
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4th highest: New Hampshire
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New Hampshire ranked fourth highest with an effective real-estate tax rate of 1.66%. The annual taxes on a home of $332.7k are $5,511 for residents there.
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3rd highest: Connecticut
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Connecticut ranked third highest with an effective real-estate tax rate of 1.81%. The annual taxes on a home of $332.7k are $6,024 for residents there.
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2nd highest: Illinois
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Illinois ranked second highest with an effective real-estate tax rate of 2.01%. The annual taxes on a home of $332.7k are $6,694 for residents there.
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Highest: New Jersey
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New Jersey ranked highest with an effective real-estate tax rate of 2.11%. The annual taxes on a home of $332.7k are $7,022 for residents there.