Stark regional differences emerged in 2024 property tax data, as rates and levied totals pulled back nationally, but at the same time the average amount owed headed upward, according to a new report.
U.S. homeowners paid an average of $4,172 in property taxes in 2024, a 2.7% increase from the previous year, the report from real estate data provider Attom said. The pace moderated from 2023, though, when the mean amount had jumped up 4.1%.
The higher 2024 number comes as estimated home values accelerated to a mean of $486,456, surging 4.8% from the prior year. The latest number rebounded from 2023, when average property values decreased for the first time in years, Attom said.
Overall, taxes levied on single-family properties across the U.S. in 2024 totaled $357.5 billion, which was down 1.6% year over year. The value generated came off an average effective tax rate of 0.86% in 2024, which also inched downward from 0.87% a year earlier.
An array of factors go into residential tax bill calculations each year, resulting in why collected revenue might shrink as average bills and home values increase, according to Attom CEO Rob Barber.
“While rising home values can influence property taxes, they don’t automatically lead to higher bills for homeowners,” he said in a press release. “In many areas, we’ve seen taxes increase not just due to property appreciation, but also because of growing costs to operate local governments and schools or shifts in how tax burdens are distributed.
“Regional disparities remain clear—with higher home values and effective tax rates in parts of the Northeast and Midwest often helping to support more robust local services, compared to the generally lower values and rates in the South and West,” Barber added.
The report comes off an analysis of county assessor data across the country that included 85.7 million properties, with estimated home prices calculated from an automated valuation model. New York State was excluded due to the lack of available data.
Even with the omission of Empire State numbers, Northeastern residents were more likely to see the highest tax bills. New Jersey led the country with an average of $10,135, followed by Connecticut at $8,402 and New Hampshire and Massachusetts with near-identical levels of $7,723 and $7,720.
West Virginia posted the smallest average bill at $1,027, with Alabama next at $1,200.
The Northeast and Central part of the country accounted for the highest state tax rates, making up all of the top 10. Illinois led the country with an average of 1.87%, followed by New Jersey and Connecticut at 1.59% and 1.48%.
On the other end, the lowest tax rates were scattered across the country but found mostly in the South and West. Hawaii came in at the bottom with an average of 0.33%, followed by Idaho, Arizona and Alabama, all at 0.41%. Delaware residents saw a mean 0.43% property tax rate.
Among the largest cities with 1 million or more residents, the Northeast and Central U.S. again topped the list with the highest property tax rates. Chicago finished on top at an average of 1.91%. In second was Hartford, Connecticut, with a rate of 1.71%. Two Ohio cities, Cleveland and Columbus followed at 1.65% and 1.45%.
