While no property owner likely enjoys paying property taxes, they are a necessary part of local government infrastructure throughout America. As the Tax Foundation has reported, in 2022 property taxes accounted for more than any other source of tax-based revenue (70.2%) for state and local governments. Property taxes are the primary source of funds for such institutions as fire and emergency medical services, schools, road services and police departments.
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Still, that doesn’t mean anyone enjoys paying them — especially in states where they are staggeringly high compared to the rest of the country. While the median property tax rate in America belongs to Oklahoma at 0.77%, some states are far higher, such as Illinois with a rate of 1.83%. While a necessity, property tax rates at the Illinois level can financially crush homeowners of the middle class and lower. That’s why a knowledge of America’s property tax rates, on a state by state level, can be so helpful to potential taxpayers and homeowners. Knowing which states will crush your wallet with property taxes can help you avoid owning a home whose taxes you simply cannot afford.
With information provided by The Tax Foundation, below are the 15 states where property taxes are crushing homeowners.
Also see states where seniors pay almost nothing in property taxes.
Illinois
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Effective tax rate: 1.83%
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New Jersey
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Effective tax rate: 1.77%
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Connecticut
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Effective tax rate: 1.48%
Nebraska
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Effective: 1.43%
Vermont
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Effective tax rate: 1.42%
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New Hampshire
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Effective tax rate: 1.41%
Texas
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Effective tax rate: 1.36%
Ohio
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Effective tax rate: 1.31%
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New York
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Effective tax rate: 1.26%
Wisconsin
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Effective tax rate: 1.25%
Iowa
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Effective tax rate: 1.23%
See More: How Long $2 Million in Retirement Will Last in Every State
Kansas
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Effective tax rate: 1.19%
Pennsylvania
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Effective tax rate: 1.19%
Michigan
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Effective tax rate: 1.15%
Rhode Island
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Effective tax rate: 1.05%
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This article originally appeared on GOBankingRates.com: 15 States Where Property Taxes Are Crushing Homeowners
