50 U.S. states, ranked by affordability, property tax rates, state income tax rates, and population changes from 2016 to 2024
Rank | State | Party in Power | Average Prop Tax Rate | Annual Taxes on $400k Home | State Income Tax Rate | Pop Change (2016-2024) | Notes |
|---|---|---|---|---|---|---|---|
1 | Texas | Republican | 1.81% | $7,240 | No state income tax | +5.1% | Higher property taxes, no income tax, moderate sales tax |
2 | Florida | Republican | 0.83% | $3,320 | No state income tax | +4.9% | No state income tax, high insurance costs |
3 | Arizona | Republican | 0.66% | $2,640 | 2.59% – 4.50% | +3.8% | Low property taxes, moderate income and sales taxes |
4 | South Carolina | Republican | 0.57% | $2,280 | 0% – 7% | +3.4% | Attracting retirees due to low taxes |
5 | North Carolina | Republican | 0.77% | $3,080 | 4.75% | +3.7% | Moderate property and income taxes |
6 | Idaho | Republican | 1.31% | $5,240 | 1.12% – 6.93% | +7.63% | Fast population growth, low income tax |
7 | Georgia | Republican | 0.92% | $3,680 | 1% – 5.75% | +1.9% | Moderate taxes, strong job growth |
8 | Nevada | Democratic | 0.53% | $2,120 | No state income tax | +1.8% | Low property taxes, no income tax, high housing costs |
9 | Utah | Republican | 0.61% | $2,440 | 4.85% | +6.0% | High birth rate, low property tax, moderate income tax |
10 | Tennessee | Republican | 0.64% | $2,560 | No state income tax | +2.8% | Low property and no income tax |
11 | Colorado | Democratic | 0.49% | $1,960 | 4.4% – 5% | +4.1% | Low property taxes, moderate income taxes |
12 | Montana | Republican | 0.88% | $3,520 | 1% – 6.75% | +5.1% | Low population density, low overall taxes |
13 | New Hampshire | Republican | 2.05% | $8,200 | No state income tax | +1.92% | High property taxes, no income tax |
14 | Alabama | Republican | 0.39% | $1,560 | 2% – 5% | +1.1% | Low property taxes, moderate state income taxes |
15 | Indiana | Republican | 0.85% | $3,400 | 3.23% | +1.3% | Low property and moderate state income taxes |
16 | Virginia | Republican | 0.80% | $3,200 | 2% – 5.75% | +1.0% | Moderate taxes overall |
17 | Washington | Democratic | 0.92% | $3,680 | No state income tax | +1.6% | High housing costs, no state income tax |
18 | Maine | Democratic | 1.30% | $5,200 | 5.8% – 7.15% | +0.76% | High property and income taxes |
19 | Oregon | Democratic | 0.90% | $3,600 | 4.75% – 9.9% | +0.33% | High state income tax, moderate property taxes |
20 | California | Democratic | 0.76% | $3,040 | 1% – 13.3% | -0.19% | High cost of living, high state income taxes |
21 | New York | Democratic | 2.5% – 3.5% | $10,000 – $14,000 | 4% – 10.9% | -0.52% | High property taxes and cost of living |
22 | Illinois | Democratic | 2.27% | $9,080 | 4.95% | -0.26% | High property and income taxes, outmigration |
23 | Connecticut | Democratic | 2.14% | $8,560 | 3% – 6.99% | -0.08% | High cost of living and taxes |
24 | New Jersey | Democratic | 2.49% | $9,960 | 1.4% – 10.75% | -0.19% | High taxes across the board |
25 | Massachusetts | Democratic | 1.17% | $4,680 | 5% | +0.56% | High property taxes, higher incomes offset taxes |
26 | Mississippi | Republican | 0.81% | $3,240 | 3% – 5% | +0.3% | Low cost of living but slow population growth |
27 | North Dakota | Republican | 1.02% | $4,080 | 1.1% – 2.9% | +0.24% | Low population density, moderate property taxes |
28 | Missouri | Republican | 0.93% | $3,720 | 0.5% – 5.4% | +0.1% | Moderate property taxes and cost of living |
29 | Minnesota | Democratic | 1.05% | $4,200 | 5.35% – 9.85% | +0.3% | Higher income and property taxes, but strong public services |
30 | Kentucky | Republican | 0.83% | $3,320 | 2% – 6% | +0.85% | Moderate taxes, lower cost of living |
31 | Louisiana | Republican | 0.55% | $2,200 | 2% – 6% | -0.31% | Low taxes but population decline |
32 | Arkansas | Republican | 0.62% | $2,480 | 2% – 5.9% | +0.8% | Low cost of living, moderate taxes |
33 | West Virginia | Republican | 0.58% | $2,320 | 3% – 6.5% | -0.22% | Low cost of living, declining population |
34 | Hawaii | Democratic | 0.28% | $1,120 | 1.4% – 11% | -0.3% | High income taxes, very high cost of living |
35 | Alaska | Republican | 1.19% | $4,760 | No state income tax | +0.02% | High cost of living due to remoteness |
36 | Oklahoma | Republican | 0.90% | $3,600 | 0.5% – 5% | +0.9% | Low cost of living, moderate taxes |
37 | Hawaii | Democratic | 0.28% | $1,120 | 1.4% – 11% | -0.3% | High income taxes, very high cost of living |
38 | South Dakota | Republican | 1.31% | $5,240 | No state income tax | +1.31% | Low cost of living, no income tax |
39 | New Mexico | Democratic | 0.74% | $2,960 | 1.7% – 5.9% | +0.04% | High poverty rate, moderate taxes |
40 | North Dakota | Republican | 1.02% | $4,080 | 1.1% – 2.9% | +0.24% | Low population density, moderate property taxes |
41 | Kentucky | Republican | 0.83% | $3,320 | 2% – 6% | +0.85% | Moderate taxes, lower cost of living |
42 | Mississippi | Republican | 0.81% | $3,240 | 3% – 5% | +0.3% | Low cost of living but slow population growth |
43 | West Virginia | Republican | 0.58% | $2,320 | 3% – 6.5% | -0.22% | Low cost of living, declining population |
44 | Louisiana | Republican | 0.55% | $2,200 | 2% – 6% | -0.31% | Low taxes but population decline |
45 | Arkansas | Republican | 0.62% | $2,480 | 2% – 5.9% | +0.8% | Low cost of living, moderate taxes |
46 | Vermont | Democratic | 1.90% | $7,600 | 3.35% – 8.75% | +0.05% | High property and income taxes |
47 | Rhode Island | Democratic | 1.39% | $5,560 | 3.75% – 5.99% | +0.2% | High cost of living and taxes |
48 | Delaware | Democratic | 0.56% | $2,240 | 2.2% – 6.6% | +1.22% | Moderate taxes, low population density |
49 | Pennsylvania | Democratic | 1.58% | $6,320 | 3.07% | -0.08% | High property taxes, moderate income taxes |
50 | Illinois | Democratic | 2.27% | $9,080 | 4.95% | -0.26% | High property and income taxes, outmigration |
Takeaways:
Lower population growth: States like West Virginia, Louisiana, and Mississippi are experiencing population declines, with affordable property taxes but fewer job opportunities.
Higher tax burdens: Illinois and Pennsylvania have high property taxes and stagnant or declining populations, making them less attractive to new residents.
Sources
Tax Foundation – "State and Local Property Tax Rates, 2024," provides detailed information on property tax rates across all U.S. states, including their historical changes. Available at: Tax Foundation.
U.S. Census Bureau – "State Population Totals and Components of Change: 2016-2024," offers detailed population data and trends for all 50 U.S. states. Available at: U.S. Census Bureau.
The Pew Charitable Trusts – "Population Growth in Most States Lags Long-Term Trends," covers population changes across U.S. states from 2008 to 2024, with detailed statistics on migration patterns and growth rates. Available at: Pew Charitable Trusts.
Norada Real Estate Investments – "2024 U.S. Real Estate Market Trends," provides insights into real estate market trends, housing affordability, and property tax impacts by state. Available at: Norada Real Estate.
GOBankingRates – "States with the Highest and Lowest Property Taxes in 2024," provides a breakdown of property tax rates and comparisons across the country. Available at: GOBankingRates.
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Disclaimer:
The information provided in this blog post is for general informational purposes only. All data regarding tax rates, population changes, and housing affordability is based on publicly available sources and is subject to change. This post does not constitute financial or legal advice. It is recommended to consult with a tax professional or real estate advisor to better understand how these factors apply to your individual situation.
This is from our series ‘Politics in Real Estate’
50 U.S. states, ranked by affordability, property and state income tax, and population changes from 2016 - 2024
Where does your state rank for affordability? North Carolina, where I am now based comes in at #5. Florida, where I used to live comes in at #2, and California, where I have also lived comes in at #20. Of course, all these rankings depend on your personal situation.