The States With the Lowest Property Taxes

Median property taxes in these states are the lowest in the U.S.

U.S. News & World Report

States With the Lowest Property Taxes

Southern house with a white picket fence

Residents in states with the lowest median annual property tax totals pay the least amount to own a home.(Getty Images)

When buying a home, the major expenses most people think about are the down payment, monthly mortgage payments and the overall cost of upkeep.

Less-prominent costs that can be surprisingly prohibitive are the state and local property taxes levied on a residence annually. The first $10,000 of property taxes is deductible on your federal tax returns, but that’s only the case if you itemize your tax returns, which less than 14% of taxpayers do, according to tax policy nonprofit the Tax Foundation.

While property taxes vary based on the state, county and city where your property is located, many states throughout the U.S. levy little or no property taxes at the state level, and many local governments largely keep property taxes low as well. Out of the 50 states and the District of Columbia, 10 have median total property tax payments that are less than $1,000 per year, based on data from tax information company Tax-Rates.org.

Some states have a median property tax rate that is very low – namely Hawaii, Delaware and the District of Columbia, which have median rates of 0.26%, 0.43% and 0.46%, respectively. However, because property values in those places are high, the total amount property owners pay in taxes is higher as well. For a better snapshot of where you’re likely to pay less money, we looked at the states with the lowest median annual property tax totals, rather than the tax rates.

Here are the states with the lowest median property taxes:

Median Property Tax Rate: 0.18%
Median Property Tax Total: $243
Median Home Value: $135,400

With a median property tax rate of just 0.18%, Louisiana has both the lowest property tax rates and the lowest median property tax amounts in the U.S. Louisiana residents pay a median of just $243 annually to cover their property tax bill. Many counties in the state, referred to as parishes in Louisiana, collect no property taxes at all. Others, including Orleans Parish and St. Tammany Parish, where New Orleans and Slidell are located, respectively, have median property tax totals over $1,000 due to higher local tax rates and higher median property values.

2. Alabama

Median Property Tax Rate: 0.33%
Median Property Tax Total: $398
Median Home Value: $119,600

3. West Virginia

Median Property Tax Rate: 0.49%
Median Property Tax Total: $464
Median Home Value: $94,500

West Virginia residents pay a median of $464 each year in property taxes. The costliest county in West Virginia is Jefferson County, which makes up the easternmost portion of the state that shares a border with both Maryland and Virginia. Property owners in Jefferson County pay a median of $1,379, though almost all other counties in the state have median property tax bills well below $1,000.

4. Mississippi

Median Property Tax Rate: 0.52%
Median Property Tax Total: $508
Median Home Value: $98,000

Mississippi residents pay a median of 0.52% of their property’s assessed value in taxes – about $508, considering the median property value for the state is $98,000, based on Tax-Rates.org information.

5. Arkansas

Median Property Tax Rate: 0.52%
Median Property Tax Total: $532
Median Home Value: $102,900

Arkansas residents see their property, which carries a median value of $102,900, taxed at a median rate of 0.52% across the state.

6. South Carolina

Median Property Tax Rate: 0.5%
Median Property Tax Total: $689
Median Home Value: $137,500

In South Carolina, if you’re living near Charleston, Columbia or Greenville – the largest cities in the state – you can expect to pay a higher tax bill either due to higher property tax rates or the likelihood that your home will carry a higher assessed value.

7. Oklahoma

Median Property Tax Rate: 0.74%
Median Property Tax Total: $796
Median Home Value: $107,700

Out of the 10 states with the lowest median property tax payment, Oklahoma has the highest tax rate at 0.74%. However, the low median property value for the state, $107,700, helps keep the median property tax payment at $796.

8. Kentucky


Median Property Tax Rate: 0.72%
Median Property Tax Total: $843
Median Home Value: $117,800

While the median annual property tax bill in Kentucky is low at $843, where you live in the state makes a big difference. Oldham County sits in the northwestern corner of the Louisville metro area, and the median property tax rate there is 0.96%, making the median property tax bill for the county a whopping $2,244.

9. New Mexico


Median Property Tax Rate: 0.55%
Median Property Tax Total: $880
Median Home Value: $160,900

With a median home value of $160,900, according to Tax-Rates.org data, New Mexico has the highest median value for properties of the 10 states on this list. Taxed at a median rate of 0.55%, the median annual property tax payment in New Mexico is $880. Though largely rural, this state has a couple of areas with relatively dense populations, including Albuquerque and Santa Fe. Additionally, at least part of eight counties throughout the state are Native American reservation land, which is not taxed.

10. Tennessee

Median Property Tax Rate: 0.68%
Median Property Tax Total: $933
Median Home Value: $137,300

Tennessee homeowners pay a median of $933 per year for property taxes, with a tax rate of 0.68%. Like most other states on this list, you can expect to pay a higher property tax bill if you live in a more densely populated part of the state.

Davidson County is home to Nashville, where the median property tax bill is $1,587 and the median tax rate is 0.96%. Nearby Williamson County levies a median property tax rate of 0.56%, but the high median home value of $335,800 means homeowners pay a median of $1,879 in property taxes.

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