Cities with the highest and lowest property tax burdens

Cities with the highest and lowest property tax burdens

Even after the mortgage is paid off, homeowners face ongoing property taxes across the United States. While senior citizens, owner-occupants, and other groups may receive preferential tax treatment in some jurisdictions, homeowners still pay anywhere from 1% to 10% of their income on property taxes. These taxes pay for local infrastructure and amenities — putting a dollar value on the local lifestyle — but not every household may use these benefits equally. Thus, property taxes become an important consideration for those considering first-time homeownership or relocation alike.

With this in mind, SmartAsset ranked 343 of the largest U.S. cities based on the percentage of homeowner income that goes to paying property taxes each year.

Key Findings

• Homeowners in this city spend 10% of their income on property taxes. Paterson, NJ has the highest rate of real estate taxes being paid relative to the median household income for homeowners at 9.8%. Homeowners pay a median $9,779 per year, with a median monthly housing cost of $2,869 and household income of $100,227.
• New Jersey and Connecticut cities dominate the top 10. Including Paterson, New Jersey has three cities with some of the most expensive property taxes in the country. Newark homeowners pay a median of 6.1% of their income, or $6,833 annually. Jersey City follows with 6.0% of homeowner income going toward a $9,197 annual payment. Connecticut cities that made the top 10 include Bridgeport (7.4% of income paid to property taxes); Waterbury (7.1%); New Haven (5.6%); and Stamford (5.5%).
• Floridians spent the highest portion of their income on property taxes in these cities. Davie homeowners spend a median 5.1% of their income on property taxes, most statewide. West Palm Beach residents have the second-highest portion of their income going to property taxes at 4.9%, followed by Miami Gardens at 4.7%. Boca Raton has the highest annual property tax bills at a median $6,979, but this only accounts for 4.1% of the local homeowner’s income.
• Alabama and Arizona cities post some of the lowest property tax burdens. Montgomery, AL has the lowest property taxes both relatively and absolutely, with 1.1% of homeowner income going to cover a $917 annual median bill. Homeowners are also among the least burdened by property taxes in Huntsville (1.3%) and Mobile (1.3%) in Alabama, and in Tempe (1.3%); Glendale (1.4%); and Chandler (1.5%) in Arizona.

Top 20 Cities With the Highest Property Tax Burdens

Cities are ranked based on the percentage of local homeowner income paid toward annual property taxes.

1. Paterson, New Jersey

• Property taxes as a percentage of income: 9.76%
• Median annual property taxes paid: $9,779
• Median income of households with a mortgage: $100,227
• Median monthly housing costs: $2,869

2. Bridgeport, Connecticut

• Property taxes as a percentage of income: 7.42%
• Median annual property taxes paid: $7,187
• Median income of households with a mortgage: $96,887
• Median monthly housing costs: $2,273

3. Waterbury, Connecticut

• Property taxes as a percentage of income: 7.07%
• Median annual property taxes paid: $5,302
• Median income of households with a mortgage: $74,973
• Median monthly housing costs: $1,875

4. Newark, New Jersey

• Property taxes as a percentage of income: 6.05%
• Median annual property taxes paid: $6,833
• Median income of households with a mortgage: $112,852
• Median monthly housing costs: $2,447

5. Jersey City, New Jersey

• Property taxes as a percentage of income: 6.02%
• Median annual property taxes paid: $9,197
• Median income of households with a mortgage: $152,690
• Median monthly housing costs: $3,376

6. Richmond, California

• Property taxes as a percentage of income: 6.00%
• Median annual property taxes paid: $7,752
• Median income of households with a mortgage: $129,155
• Median monthly housing costs: $2,893

7. Aurora, Illinois

• Property taxes as a percentage of income: 5.83%
• Median annual property taxes paid: $6,399
• Median income of households with a mortgage: $109,738
• Median monthly housing costs: $1,996

8. Allentown, Pennsylvania

• Property taxes as a percentage of income: 5.62%
• Median annual property taxes paid: $3,776
• Median income of households with a mortgage: $67,132
• Median monthly housing costs: $1,564

9. New Haven, Connecticut

• Property taxes as a percentage of income: 5.57%
• Median annual property taxes paid: $6,745
• Median income of households with a mortgage: $121,153
• Median monthly housing costs: $2,141

10. Stamford, Connecticut

• Property taxes as a percentage of income: 5.51%
• Median annual property taxes paid: $9,951
• Median income of households with a mortgage: $180,500
• Median monthly housing costs: $3,488

11. Hartford, Connecticut

• Property taxes as a percentage of income: 5.50%
• Median annual property taxes paid: $4,451
• Median income of households with a mortgage: $80,959
• Median monthly housing costs: $1,984

12. Elgin, Illinois

• Property taxes as a percentage of income: 5.46%
• Median annual property taxes paid: $6,595
• Median income of households with a mortgage: $120,773
• Median monthly housing costs: $2,020

13. Oakland, California

• Property taxes as a percentage of income: 5.36%
• Median annual property taxes paid: $9,632
• Median income of households with a mortgage: $179,650
• Median monthly housing costs: $3,714

14. Edinburg, Texas

• Property taxes as a percentage of income: 5.32%
• Median annual property taxes paid: $4,366
• Median income of households with a mortgage: $82,044
• Median monthly housing costs: $1,718

15. Georgetown, Texas

• Property taxes as a percentage of income: 5.21%
• Median annual property taxes paid: $6,493
• Median income of households with a mortgage: $124,602
• Median monthly housing costs: $2,438

16. Conroe, Texas

• Property taxes as a percentage of income: 5.14%
• Median annual property taxes paid: $5,866
• Median income of households with a mortgage: $114,220
• Median monthly housing costs: $2,453

17. Davie town, Florida

• Property taxes as a percentage of income: 5.11%
• Median annual property taxes paid: $6,482
• Median income of households with a mortgage: $126,812
• Median monthly housing costs: $2,966

18. Grand Prairie, Texas

• Property taxes as a percentage of income: 5.08%
• Median annual property taxes paid: $5,894
• Median income of households with a mortgage: $116,083
• Median monthly housing costs: $2,277

19. Ann Arbor, Michigan

• Property taxes as a percentage of income: 5.05%
• Median annual property taxes paid: $8,719
• Median income of households with a mortgage: $172,680
• Median monthly housing costs: $2,586

20. Hollywood, Florida

• Property taxes as a percentage of income: 4.98%
• Median annual property taxes paid: $5,410
• Median income of households with a mortgage: $108,570
• Median monthly housing costs: $2,652

Top 20 Cities With the Lowest Property Tax Burdens

Cities are ranked based on the percentage of local homeowner income paid toward annual property taxes.

1. Montgomery, Alabama

• Property taxes as a percentage of income: 1.06%
• Median annual property taxes paid: $917
• Median income of households with a mortgage: $86,442
• Median monthly housing costs: $1,406

2. Huntsville, Alabama

• Property taxes as a percentage of income: 1.26%
• Median annual property taxes paid: $1,631
• Median income of households with a mortgage: $129,243
• Median monthly housing costs: $1,748

3. Mobile, Alabama

• Property taxes as a percentage of income: 1.33%
• Median annual property taxes paid: $1,086
• Median income of households with a mortgage: $81,435
• Median monthly housing costs: $1,464

4. Tempe, Arizona

• Property taxes as a percentage of income: 1.34%
• Median annual property taxes paid: $1,893
• Median income of households with a mortgage: $141,615
• Median monthly housing costs: $1,947

5. Sunrise Manor, Nevada

• Property taxes as a percentage of income: 1.39%
• Median annual property taxes paid: $1,233
• Median income of households with a mortgage: $88,497
• Median monthly housing costs: $1,608

6. Glendale, Arizona

• Property taxes as a percentage of income: 1.40%
• Median annual property taxes paid: $1,543
• Median income of households with a mortgage: $110,487
• Median monthly housing costs: $1,801

7. Charleston, South Carolina

• Property taxes as a percentage of income: 1.42%
• Median annual property taxes paid: $2,241
• Median income of households with a mortgage: $158,042
• Median monthly housing costs: $2,322

8. Mesa, Arizona

• Property taxes as a percentage of income: 1.42%
• Median annual property taxes paid: $1,723
• Median income of households with a mortgage: $120,989
• Median monthly housing costs: $1,980

9. Lafayette, Louisiana

• Property taxes as a percentage of income: 1.43%
• Median annual property taxes paid: $1,528
• Median income of households with a mortgage: $107,136
• Median monthly housing costs: $1,740

10. Chandler, Arizona

• Property taxes as a percentage of income: 1.46%
• Median annual property taxes paid: $2,153
• Median income of households with a mortgage: $147,446
• Median monthly housing costs: $2,095

11. San Tan Valley, Arizona

• Property taxes as a percentage of income: 1.46%
• Median annual property taxes paid: $1,506
• Median income of households with a mortgage: $102,935
• Median monthly housing costs: $1,936

12. Columbia, South Carolina

• Property taxes as a percentage of income: 1.47%
• Median annual property taxes paid: $1,625
• Median income of households with a mortgage: $110,450
• Median monthly housing costs: $1,636

13. Colorado Springs, Colorado

• Property taxes as a percentage of income: 1.51%
• Median annual property taxes paid: $1,966
• Median income of households with a mortgage: $130,102
• Median monthly housing costs: $2,227

14. Evansville, Indiana

• Property taxes as a percentage of income: 1.55%
• Median annual property taxes paid: $1,244
• Median income of households with a mortgage: $80,033
• Median monthly housing costs: $1,215

15. Fayetteville, Arkansas

• Property taxes as a percentage of income: 1.56%
• Median annual property taxes paid: $1,943
• Median income of households with a mortgage: $124,225
• Median monthly housing costs: $1,739

16. Gilbert town, Arizona

• Property taxes as a percentage of income: 1.57%
• Median annual property taxes paid: $2,378
• Median income of households with a mortgage: $151,695
• Median monthly housing costs: $2,348

17. Phoenix, Arizona

• Property taxes as a percentage of income: 1.58%
• Median annual property taxes paid: $1,919
• Median income of households with a mortgage: $121,674
• Median monthly housing costs: $1,934

18. Las Cruces, New Mexico

• Property taxes as a percentage of income: 1.61%
• Median annual property taxes paid: $1,619
• Median income of households with a mortgage: $100,412
• Median monthly housing costs: $1,430

19. Peoria, Arizona

• Property taxes as a percentage of income: 1.64%
• Median annual property taxes paid: $2,090
• Median income of households with a mortgage: $127,773
• Median monthly housing costs: $1,985

20. Surprise, Arizona

• Property taxes as a percentage of income: 1.66%
• Median annual property taxes paid: $1,870
• Median income of households with a mortgage: $112,665
• Median monthly housing costs: $2,004

Data and Methodology

The median annual real estate taxes paid is compared to the median household income for homeowners according to the U.S. Census Bureau 1-Year American Community Survey for 2024. Data was available for 343 cities with populations over 100,000.

This story was produced by SmartAsset and reviewed and distributed by Stacker.