Special Report
States With the Highest and Lowest Property Taxes
February 27, 2020 4:40 pm
Last Updated: March 19, 2020 4:25 pm
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40. Mississippi
> Avg. property taxes paid: 0.65% of home value
> Per capita property taxes: $1,017 (12th lowest)
> Median home value: $123,300 (2nd lowest)
> Homeownership rate: 68.2% (15th highest)
> Median household income: $44,717 (2nd lowest)
Mississippi is one of several southern states to have an effective property tax rate well below the 1.1% average across states. In general, all taxes in the state tend to be low, as the total tax burden per capita in the state is $2,742, the lowest of any state. Partially as a result, Mississippi is far more dependent on federal aid than most states.
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39. Nevada
> Avg. property taxes paid: 0.66% of home value
> Per capita property taxes: $1,012 (11th lowest)
> Median home value: $292,200 (11th highest)
> Homeownership rate: 56.8% (3rd lowest)
> Median household income: $58,646 (22nd lowest)
Nevada has one of the lowest effective property tax rates of any state, and partially as a result, property taxes account for just 22.5% of state and local revenue, well below the 31.9% national average. Nevada is a popular tourist destination, and as such, the bulk of the state’s tax revenue comes from sales tax.
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38. Arizona
> Avg. property taxes paid: 0.67% of home value
> Per capita property taxes: $1,099 (17th lowest)
> Median home value: $241,100 (19th highest)
> Homeownership rate: 64.8% (13th lowest)
> Median household income: $59,246 (24th lowest)
Homeowners in Arizona pay an average of just 0.67% of their property value in taxes every year — one of the lowest effective property tax rates of any state. Like many states with low effective property tax rates, Arizona relies heavily on federal aid.
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37. New Mexico
> Avg. property taxes paid: 0.68% of home value
> Per capita property taxes: $792 (4th lowest)
> Median home value: $174,700 (17th lowest)
> Homeownership rate: 66.2% (23rd highest)
> Median household income: $47,169 (4th lowest)
The effective property tax rate in New Mexico of 0.68% is only slightly higher than the rate in neighboring Arizona. However, the typical home in New Mexico is worth $66,400 less than the typical home in Arizona, and partially as a result, per capita property taxes in New Mexico are just $792 per year, well below the comparable $1,099 figure in Arizona.
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36. Tennessee
> Avg. property taxes paid: 0.73% of home value
> Per capita property taxes: $876 (6th lowest)
> Median home value: $177,500 (18th lowest)
> Homeownership rate: 66.2% (23rd highest)
> Median household income: $52,375 (10th lowest)
Homeowners in Tennessee pay an average of just 0.73% of their home value in property taxes every year, one of the smaller shares among states. Property taxes typically go toward funding local public schools, and in Tennessee, public school funding is just $9,184 per pupil, about $3,000 below the national average.
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