Property Tax Rates Vary Widely by State and Geography
There is a nearly $8,000 difference between what residents of the state with the highest property taxes pay compared to those who live in the state with the lowest annual tax bill.
NAHB analysis of data from the 2019 American Community Survey shows that in 2019, New Jersey continued its perennial distinction as the state with the highest average annual tax bill per home owner. Garden State home owners paid an average of $8,687 in real estate taxes in 2019.
At the opposite end of the spectrum, Alabama ranked 50th among home owners in average real estate tax paid per year. There, the average real estate tax bill totaled just $713.
The top five states with the highest average annual property taxes are all located in the Northeast:
| Rank | Average Real Estate Taxes Paid Per Year |
| 1. New Jersey | $8,687 |
| 2. Connecticut | $6,593 |
| 3. New York | $6,410 |
| 4. New Hampshire | $5,843 |
| 5. Massachusetts | $5,495 |
The states with the lowest average annual property taxes are primarily located in the South:
| Rank | Average Real Estate Taxes Paid Per Year |
| 50. Alabama | $713 |
| 49. West Virginia | $815 |
| 48. Mississippi | $1,038 |
| 47. Arkansas | $1,046 |
| 46. Louisiana | $1,080 |
NAHB economist David Logan looks at the national picture and provides further analysis in this Eye on Housing blog post.
Find out where your state stands on the list.
Latest from NAHBNow
Nov 20, 2025
Remodeling Growth Drives Uptick in Residential Construction SpendingPrivate residential construction spending inched up 0.8% in August, continuing steady growth since June 2025, primarily driven by more spending on multifamily construction and home remodeling.
Nov 19, 2025
The New Frontier of Jobsite Efficiency: How Flat-Packed Door Systems Are Transforming InstallsPre-hung doors have long been the default choice for builders and remodelers. But with their benefits, they also come with logistical downsides. More builders are turning to a new alternative: flat-packed, “knocked-down” door systems that ship efficiently and assemble cleanly on-site.
Latest Economic News
Nov 19, 2025
Affordability Impacts: Young Adults Are Once Again Moving Back HomeThe share of young adults living with parents increased in 2024, interrupting the post-pandemic trend of moving out of parental homes.
Nov 18, 2025
Location, Location, Location: How Place and Neighborhood Shape Home ValuesThe value of a single-family home depends not only on its physical features but also on its location and neighborhood context.
Nov 18, 2025
Builder Sentiment Relatively Flat in November as Market Headwinds PersistMarket uncertainty exacerbated by the government shutdown along with economic uncertainty stemming from tariffs and rising construction costs kept builder confidence firmly in negative territory in November.