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Hawaii to Delaware: Check out the 10 states with lowest property taxes in United States

IFM_United States Property Taxes
Delaware's above-average home values indicate that property taxes will probably increase for homeowners

Local governments in the United States rely heavily on property taxes for funding a variety of initiatives, including schools, road building and maintenance, parks and renovation programmes. It also includes the salaries of municipal personnel, such as those in the police, fire, and public works departments.

There isn’t a single state in the United States that doesn’t impose a property tax, but if you are willing to live on lots of lands and in a big house, here are some states with low property tax where you could prefer to buy a home.


As of the 2019 calendar year, Hawaii had the lowest effective property tax rate of 0.31%. The state has the highest average property value, so residents of this state might still have to pay a significant tax payment.


Alabama is one of the most affordable states to own a home due to its low property tax rate and home prices that are significantly lower than the national average home value (USD 325,677 as of January 31, 2022).


Louisiana is another state with both a low effective property tax rate and typical home values that are well below the national average. As of 2021, gas in Louisiana has been taxed at 20 cents per gallon, which is one of the lowest in the country.


Although the average house value in Wyoming is higher than in some of the other states, it does not impose a state income tax, and its 4% sales tax was among the lowest in the country as of 2021.


Colorado has one of the lowest effective property tax rates, but rising home values result in homeowners paying around USD 2,838 on an average-priced home, making it the second-highest tax burden.

South Carolina

While West Virginia and South Carolina both have effective property tax rates of 0.53%, South Carolina has a distinct advantage in terms of cost of living due to its substantially lower mean home values.

West Virginia

West Virginia has the lowest housing costs in the nation due to its low effective property tax rate and affordable home prices. The state’s overall cost of living and gas tax rate both were among the top ten list in 2021.


Utah has some of the highest property taxes at 2.32%. It had a higher effective tax rate in 2019 in addition to having the highest average home values.


Delaware’s above-average home values indicate that property taxes will probably increase for homeowners. Delaware similarly had a modest poverty rate in 2019 and a higher cost of living in all categories in 2021, with the exception of utilities.


A low effective property tax rate and affordable housing prices contribute to Arkansas’s alluring cost of living. Sales tax is on the high end, with a combined state and an average local sales tax rate of 9.51%.

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