Property tax

Property Tax Calculator

Estimate annual and monthly property tax on any home, in any US state — pre-filled with each state's average effective rate and median home value.

Property tax by state

These pages go deeper — how assessment works locally, homestead exemptions, relief programs, and the median bill on the state's median home:

Every state is in the calculator above with its average rate. Dedicated guides are rolling out state by state.

How property tax works

Your annual property tax is simply your home's assessed value multiplied by the local effective tax rate. The math is easy; the nuance is in the inputs. Assessed value is often lower than market value, and the effective rate blends your state, county, school district, and municipal levies. The national average is about 1.03%, but it runs from roughly 0.27% in Hawaii to 2.23% in New Jersey.

Why it shows up in your mortgage

Most lenders collect property tax monthly into an escrow account— one twelfth of the annual bill each month — then pay the town or county when it's due. That's why the "T" in a PITI mortgage payment (principal, interest, taxes, insurance) matters: in a high-tax state, taxes can add hundreds of dollars to your monthly payment. Our mortgage calculator folds this in automatically.

Ways to lower your bill

Homestead exemption — many states reduce the taxable value of a primary residence; file the declaration.
Senior / income relief — credits and freezes for older or lower-income homeowners.
Appeal your assessment — if comparable homes are assessed lower, you can challenge yours.
Check for errors — square footage, bedroom count, and lot size mistakes inflate assessments.

Property tax FAQ

How is property tax calculated?: Property tax is your home's assessed value multiplied by the local effective tax rate. If a home is assessed at $400,000 and the effective rate is 1.5%, the annual tax is $6,000, or about $500 a month collected into your mortgage escrow.
What is the average property tax rate in the US?: The national average effective property-tax rate is about 1.03% of home value per year, but it ranges enormously — from around 0.27% in Hawaii to about 2.23% in New Jersey.
What's the difference between assessed value and market value?: Market value is what the home would sell for; assessed value is what the local assessor uses for taxation, and it's often lower. Many towns apply an assessment ratio or a 'common level of appraisal' so the assessed value lags the market. Use the figure on your assessment notice for the most accurate estimate.
Is property tax included in my mortgage payment?: Usually yes. Most lenders collect 1/12 of your annual property tax each month into an escrow account, then pay the town or county on your behalf. That's why your monthly mortgage payment is larger than just principal and interest.
Can I lower my property tax?: Possibly. You can file a homestead declaration where available, claim senior or income-based relief programs, and appeal your assessment if you believe the assessed value is too high relative to comparable homes. The state pages below note specific relief programs.
Why do property taxes vary so much by state?: States fund schools and local services differently. Some lean heavily on property tax (and keep income or sales taxes lower), while others do the reverse. Within a state, rates also vary by county, school district, and municipality.

Related calculators

Mortgage calculators by state

Estimates are for education only. Your actual property tax depends on local rates, assessment, and any exemptions you qualify for.