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
Awards | Leading Suppliers Council
Jan 28, 2026
Transparent Flashing from Typar Earns 2026 Spark Innovation AwardThe NAHB Leading Suppliers Council (LSC) recently announced that Typar’s Clear Acrylic Flashing is the winner of the 2026 Spark Award. The flashing is the first and only product of its kind on the market that allows the pattern on window nailing fins to be completely visible upon installation.
Housing Finance
Jan 27, 2026
FHA Extends Temporary Waiver for New Single-Family Flood Elevation RequirementsThe Federal Housing Administration (FHA) announced today the extension of a temporary waiver for new construction in Special Flood Hazard Areas as part of the Federal Flood Risk Management Standard requirements issued by the Department of Housing and Urban Development.
Latest Economic News
Economics
Jan 27, 2026
State-Level Employment Situation: December 2025With few exceptions, year-over-year nonfarm employment levels were relatively stable across states at the end of 2025, ranging from a decline of 4.2 percent to a gain of 1.8 percent. Construction employment, however, showed considerably greater dispersion, with declines of up to 9.3 percent in some states and gains approaching 9.0 percent in others.
Economics
Jan 26, 2026
Pool Permitting Falls Lower in 2025After a rapid expansion of residential swimming pool and spa construction following the pandemic, permit levels in the latest monthly index for December fell to their lowest level since 2020.
Economics
Jan 23, 2026
2025 Third Quarter State-Level GDP DataIn the third quarter of 2025, the Bureau of Economic Analysis (BEA) reported that real gross domestic product (GDP) expanded nationally, with growth recorded across all states and the District of Columbia.