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
Feb 20, 2026
NAHB Announces Best of IBS Winners at International Builders’ ShowThe National Association of Home Builders (NAHB) named the winners of its 13th annual Best of IBS™ Awards during the NAHB International Builders’ Show® (IBS) in Orlando. The awards were presented during a ceremony held on the final day of the show.
Feb 20, 2026
How Land Developers are Leveraging AI to Move FasterAI is helping today's leading land development teams operate differently. By connecting data across ownership, zoning, infrastructure, and development activity, AI can surface early signals of opportunity and support faster, more informed go/no-go decisions
Latest Economic News
Feb 20, 2026
New Home Sales Close 2025 with Modest GainsNew home sales ended 2025 on a mixed but resilient note, signaling steady underlying demand despite ongoing affordability and supply constraints. The latest data released today (and delayed because of the government shutdown in fall of 2025) indicate that while month-to-month activity shows a small decline, sales remain stronger than a year ago, signaling that buyer interest in newly built homes has improved.
Feb 20, 2026
U.S. Economy Ends 2025 on a Slower NoteReal GDP growth slowed sharply in the fourth quarter of 2025 as the historic government shutdown weighed on economic activity. While consumer spending continued to drive growth, federal government spending subtracted over a full percentage point from overall growth.
Feb 19, 2026
Delinquency Rates Normalize While Credit Card and Student Loan Stress WorsensDelinquent consumer loans have steadily increased as pandemic distortions fade, returning broadly to pre-pandemic levels. According to the latest Quarterly Report on Household Debt and Credit from the Federal Reserve Bank of New York, 4.8% of outstanding household debt was delinquent at the end of 2025, 0.3 percentage points higher than the third quarter of 2025 and 1.2% higher from year-end 2024.