By Mike Winters
Copyright cnbc
Remember, these figures reflect the median property tax bill in each state, not home values or tax rates. What you pay will vary based on factors like housing costs, state tax structures and local policies such as tax exemptions or abatements.
In states without an income tax, property taxes often play a bigger role in funding local services. That’s especially true in Texas and New Hampshire, where median bills are among the highest in the country. Other states without an income tax, like Alaska or Nevada, lean more on oil revenue or tourism instead.
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While California has some of the highest home prices in the country, median property taxes are lower than other high-cost states due to caps on assessments and an exemption for owner-occupied homes. Hawaii also has high home values, but property tax bills stay relatively low because the state relies more on a general excise tax to fund government services.
Homes tend to be more expensive in cities because demand is high and space is limited, which drives up values — and in turn, property tax bills. In 2023, the median bill reached $9,937 in New York City and $9,554 in San Jose, according to a LendingTree study. By comparison, state-level medians reported by the Tax Foundation are generally lower.
