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11 States With the Lowest Property Taxes

By Bennett Kleinman
Read time: 7 minutes
October 21, 2025
Updated: October 21, 2025

Have you ever gone on vacation in a new city and enjoyed it so much that you dream about living there full-time? Or maybe you’re just looking for a part-time getaway in a spot where the weather is always warmer than back home. Whatever the case may be, it’s important to do some research about local property taxes before making any big decisions. The property tax rate in some U.S. states may seem prohibitively high, but others are known for lower tax rates. Based on recent data compiled by the Tax Foundation — a nonprofit research group specializing in tax policy — here’s a look at the 11 U.S. states with the lowest effective property tax rates, as of 2025.

10. Colorado (tie)

Main street in Colorado mountain town
Credit: Nicholas Klein/ iStock via Getty Images Plus 

Effective property tax rate: 0.50%

Colorado is tied with Delaware for the 10th-lowest effective property tax rate in the U.S. This makes cities such as Denver a particularly attractive place to own property. According to an analysis by the Colorado Sun, the property tax on a $550,000 house in Denver would be just $2,860 — far less than the $5,059 tax bill for an identically priced property in Atlanta, $6,379 in Los Angeles, or $14,243 in Portland, Oregon. 

On an individual county level, Colorado’s rates are lowest (0.21%) in Jackson County — a sparsely populated county of just over 1,200 people located in the north along the Wyoming border. Because of high home values, though, Coloradans still pay the 15th-highest total amount of property taxes per capita in the country, at $7,263 annually, according to additional data provided by the Tax Foundation.

10. Delaware (tie)

Market Street in Wilmington, Delaware
Credit: Dmitry Vinogradov/ iStock via Getty Images Plus 

Effective property tax rate: 0.50%

Like Colorado, Delaware has a 0.50% effective statewide property tax rate. However, the exact rate you’ll pay varies depending on which of the state’s three counties you own property in. For instance, in New Castle County — home to major cities such as Wilmington and Newark — the tax rate hovers around 0.74%. In Kent County (home to the capital city of Dover), the rate drops to 0.46%, while in Sussex County it’s just 0.33%. 

Despite the low tax rates, Delawareans still pay the 13th-highest total amount of annual property taxes per capita in the country, at $7,693 per household. The Delaware Legislature passed a bill in August 2025 to help provide property tax relief to any locals facing increased tax bills in the wake of a recent statewide property reassessment. And fortunately, Delaware is one of only a handful of states not to charge a statewide sales tax.

Related: 5 States That Don’t Have Sales Tax

8. Nevada (tie)

Hotels on the Las Vegas Strip
Credit: NeoPhoto/ iStock via Getty Images Plus 

Effective property tax rate: 0.49%

Nevada is one of two states with a 0.49% effective property tax rate. While that is the average statewide, in terms of individual Nevadan counties, the tax rate is lowest (0.40%) in Storey County, which is located east of Reno and is home to just over 4,000 full-time residents. 

If you’re eyeing property in Las Vegas (located in Clark County), the property tax rates are slightly higher but still affordable. Despite the city’s association with glitz, glamour, and wealth, the property tax rate in Clark County is just 0.50%.

Related: The 8 States Without Income Tax

8. Tennessee (tie)

Skyline of Nashville, Tennessee
Credit: Michael Warren/ iStock via Getty Images Plus 

Effective property tax rate: 0.49%

While Tennessee’s effective property tax rate recently rose from 0.45% to 0.49%, it remains in a tie for the eighth-lowest rate in the country. Locals also pay an average of just $4,731 in annual property taxes per capita, which ranks second-lowest among U.S. states after Alabama. 

Tennessee’s property tax rates are their lowest (0.31%) in Cumberland County, a community of more than 65,000 residents located halfway between Knoxville and Nashville. Notably, there are ongoing efforts to ban state property taxes altogether in Tennessee, with a vote set to take place in 2026.

6. Idaho (tie)

Highway leading to downtown Boise, Idaho, seen from above
Credit: knowlesgallery/ iStock via Getty Images Plus 

Effective property tax rate: 0.48%

Idaho claims the sixth-lowest effective property tax rate in the U.S. in a tie with West Virginia. The lowest rate is just 0.29% in Clark County; however, very few Idahoans get to take advantage of such a low number, as there are fewer than 800 people who call the county their full-time home. When it comes to total taxes paid per capita each year, Idaho ranks the ninth-lowest among U.S. states, with a total of $5,173 per person.

6. West Virginia (tie)

Skyline of Charleston, West Virginia, at sunset
Credit: Sean Pavone/ iStock via Getty Images Plus

Effective property tax rate: 0.48%

While West Virginia’s effective property tax rate is 0.48% statewide, those rates on a county level drop as low as 0.30% in Summers County, which is located toward the southern part of the state and includes the city of Hinton. But even at their peak, countywide property tax rates in the state of West Virginia remain quite low. The highest tax rate is 0.68% in Kanawha County, home to the state capital of Charleston. In total, West Virginians pay an estimated $5,335 annually in terms of property taxes per capita, which is the 16th-lowest statewide average in the country.

4. South Carolina (tie)

Waterfront homes in Charleston, South Carolina
Credit: benedek/ iStock via Getty Images Plus 

Effective property tax rate: 0.47%

South Carolina is another state where the average property tax rate comes out to 0.47%. South Carolinians also pay the seventh-lowest amount of total property taxes per capita, at just $5,052 annually. 

The lowest effective property tax rate (0.34%) among individual counties in South Carolina can be found in Horry County, which includes Myrtle Beach and is located along the Atlantic Coast. The rates jump a bit higher in places such as Allendale County, which levies a property tax rate of 0.88%.

4. Utah (tie)

Businesses in Logan, Utah, with mountains in background
Credit: DenisTangneyJr/ iStock via Getty Images Plus 

Effective property tax rate: 0.47%

On a statewide basis, Utah is one of two states tied for having the fourth-lowest effective property tax rate in the country. However, rates creep up in places such as San Juan County (0.84%), which makes up the southeastern part of the state and includes parts of Canyonlands National Park

But generally, Utah’s property tax rates are quite low, especially in Rich County (despite what its name might suggest). Bordering both Idaho and Wyoming in northern Utah, Rich County has an effective property tax rate of 0.29%. Per capita, Utah residents pay around $6,277 in property taxes, which is right around the midpoint for all states.

3. Arizona

Cityscape of Tucson, Arizona
Credit: Sean Pavone/ iStock via Getty Images Plus 

Effective property tax rate: 0.44%

While Arizonans pay an average property tax rate of 0.44%, the 9,500 residents of Greenlee County, which is located along the New Mexico border and contains parts of the Apache National Forest, are subject to a property tax rate of just 0.36%. The average homeowner in Arizona shells out around $5,232 in annual property taxes, which is the 11th-lowest such number in the United States.

2. Alabama

Aerial view of Selma, Alabama, and Alabama River
Credit: traveler1116/ iStock via Getty Images Plus 

Effective property tax rate: 0.36%

Alabamans not only pay the second-lowest property tax rate in the nation, but also pay the lowest amount of property taxes per capita each year, at just $4,722. When you break it down by county, the property tax rate is lower than 0.30% in 18 of Alabama’s 67 counties, with the lowest total dipping below 0.20%. That rate can be found in Choctaw County, which borders the state of Mississippi and imposes a property tax rate of just 0.18%.

1. Hawaii

Oceanfront businesses in Lahaina, Maui
Credit: Peter Unger/ Stone via Getty Images 

Effective property tax rate: 0.32%

Hawaii has the lowest property tax rate of any state. The most affordable rate on a county level is in Maui County, where residents pay just 0.17% on property taxes. But this rate can be deceiving — as noted by the Grassroot Institute of Hawaii, property taxes are assessed based on total property value, which is extremely high across the board in the Aloha State. In fact, the average Hawaii resident spends $9,503 in annual property taxes, which is the fourth-highest amount in the country, after New York, California, and Connecticut.

Summary of States With the Lowest Property Taxes

Effective Property Tax RateAmount Residents Pay Per Capita
Hawaii0.32%$9,503
Alabama0.36%$4,722
Arizona0.44%$5,232
South Carolina0.47%$5,052
Utah0.47%$6,277
Idaho0.48%$5,173
West Virginia0.48%$5,335
Nevada0.49%$6,196
Tennessee0.49%$4,731
Colorado0.50%$7,263
Delaware0.50%$7,693
Source: Tax Foundation State and Local Tax Collections Per Capita by State, 2025
Related: 10 States With the Highest Cost of Living
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About the author
Bennett Kleinman, Staff Writer
Bennett is a New York City-based staff writer for Daily Passport. He previously contributed to television programs such as the Late Show With David Letterman, as well as digital publications like the Onion. Bennett has traveled to 48 U.S. states and all 30 Major League Baseball stadiums.

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