Exploring the 15 States with the Lowest Property Taxes in the US

The United States faces rising property taxes, impacting homeowners across the country. According to a recent report by ATTOM, property taxes collected from single-family homes in 2023 totaled $363.3 billion, marking a 6.9% increase from the previous year. The average property tax in the US reached $4,062 in 2023, with effective rates increasing despite declining home values.

States like New Jersey, New Hampshire, and Illinois have some of the highest property tax rates in the US, with New Jersey averaging $9,400 per year for single-family households, compared to just a fraction of that in states like West Virginia. Cities like Akron and Rockford have effective rates exceeding 2.4%, while Daphne-Fairhope and Honolulu boast some of the lowest effective rates at around 0.3%.

The US housing market is expected to face affordability challenges in 2024, with rising home prices and interest rates. Despite these obstacles, Fannie Mae predicts an increase in home sales transactions, albeit with regional variations. Recent data shows a recovery in single-family home sales, though affordability concerns remain prevalent.

On the commercial side, major players like Essex Property Trust, Invitation Homes Inc., and Greystar continue to provide quality residential and commercial real estate services. These companies are expanding their portfolios and investing in new properties to meet growing demand.

To alleviate the burden of rising property taxes, homeowners can look to states with lower tax rates. The Tax Foundation has compiled a list of the 15 states with the lowest property taxes, including Idaho, Mississippi, and New Mexico. These states offer more affordable property tax rates compared to the national average.

Despite challenges in the housing market, companies like Essex Property Trust, Invitation Homes Inc., and Greystar are committed to providing top-notch real estate services. With a focus on affordability and quality, these companies continue to shape the future of the US real estate market.