Property taxes assessed on single-family homes were $304.6 billion in 2018, an increase of 4 percent, compared with $293.4 billion in 2017.
The average property taxes of $3,498 for a single-family home in 2018 was up 3 percent from the average property tax of $3,399 in 2017, and the effective property tax rate of 1.16 percent in 2018 was down from the effective property tax rate of 1.17 percent in 2017, according to the 2018 property tax analysis from Attom Data Services.
The effective tax rate is the average annual property tax is a percentage of the average estimated market value of homes in a geographic area.
[caption id="attachment_11556" align="alignleft" width="398"]
Todd Teta[/caption]
"Property taxes levied on homeowners rose again in 2018 across most of the country," said Todd Teta, chief product officer for Attom Data Solutions. "While many states across the country have imposed caps on how much taxes can go up, which probably contributed to a slower increase in 2018 versus 2017. There are still many factors at play that can contribute to local property tax hikes, and without major changes in the way a community runs public services, tax rates must rise to pay for them."
The report analyzed property tax data collected from county tax assessor offices nationwide at the state, metro and county levels along with estimated market values of single-family homes calculated by an automated valuation model.
New Jersey, Illinois, Texas, Vermont, Connecticut post highest property tax rates
States with the highest effective property tax rates were New Jersey (2.25 percent), Illinois (2.22 percent), Texas (2.18 percent), Vermont (2.16 percent), and Connecticut (2.02 percent).
Other states in the top 10 for highest effective property tax rates were New Hampshire (1.99 percent), New York (1.86 percent), Pennsylvania (1.79 percent), Ohio (1.69 percent), and Wisconsin(1.58 percent).
Among 219 metropolitan statistical areas analyzed in the report with a population of at least 200,000, those with the highest effective property tax rates were Binghamton, N.Y. (3.19 percent); Syracuse, N.Y. (2.89 percent); Rochester, N.Y. (2.88 percent); Rockford, Ill. (2.83 percent); and Atlantic City, N.J. (2.74 percent).
Property taxes increase faster than national average in 58 percent of markets:
Out of the 219 metropolitan statistical areas analyzed in the report, 120 (55 percent) reported an increase in average property taxes above the national average of 3 percent:
Los Angeles(5 percent increase), Dallas-Fort Worth (8 percent increase), Washington D.C. (4 percent increase), Atlanta (7 percent increase), and San Francisco (7 percent increase).
Other major markets posting an increase in average-property taxes that was above the national average are Riverside-San Bernardino (5 percent), Seattle (14 percent), Minneapolis (6 percent), San Diego (5 percent), and Tampa (4 percent).
Hawaii, Alabama, Colorado, Nevada, Utah post lowest property tax rates
States with the lowest effective property tax rates were Hawaii (0.37 percent), Alabama (0.48 percent), Colorado (0.51 percent), Nevada (0.57 percent), and Utah (0.57 percent).
Other states in the top 10 for lowest-effective property tax rates were West Virginia (0.58 percent), Delaware (0.61 percent), Arizona (0.64 percent), Tennessee (0.65 percent), and Wyoming (0.66 percent).
Among the 219 metro areas analyzed for the report, those with the lowest effective property tax rates were Laredo, Texas (0.35 percent); Honolulu (0.36 percent); Montgomery, Ala. (0.37 percent); Tuscaloosa, Ala. (0.39 percent); and Colorado Springs, Colo. (0.42 percent).
Among 1,408 U.S. counties with at least 10,000 single family homes, those with the highest-average property taxes on single-family homes were largely located in the greater New York metro area, led by Westchester County, N.Y. ($17,392); Rockland County, N.Y. ($12,925); Marin County, Calif. ($12,242); Essex County, N.J. ($12,161); and Bergen County, N.J. ($11,771).
