Each year, the average American household spends $2,471 on real-estate property taxes plus another $445 for residents of the 27 states with vehicle property taxes. With such high costs, it’s no surprise that more than $14 billion in property taxes go unpaid each year, according to the National Tax Lien Association.
In order to determine who pays the most relative to their state, the personal-finance website WalletHub released its 2022’s Property Taxes by State report. The report compares home and vehicle taxes across the nation and features insights from a panel of experts.
The states with highest real-estate taxes according to the report were New York, Nebraska, Texas, Wisconsin, Vermont, Connecticut, New Hampshire, Illinois and New Jersey.
The states with the highest vehicle property taxes were Kansas, Massachusetts, Maine, South Carolina, Connecticut, Missouri, Rhode Island, Mississippi and Virginia.
Key takeaways from the report included:
- Hawaii had the lowest real-estate tax, $606, which is 8.9 times lower than in New Jersey, the state with the highest at $5,419.
- There were 27 states levied some form of vehicle property tax. Of those states, Louisiana has the lowest, $25, which is 40.9 times lower than in Virginia, the state with the highest at $1,023.
- Blue States had 31.12 percent higher real-estate property taxes, averaging $2,722, than Red States, averaging $2,076.