10 Cities With the Lowest Property Tax Burdens
Unfortunately, a mortgage is not the only guaranteed cost that homeowners have to worry about. Property taxes can add anywhere from an additional 1 to 10% to monthly totals. The exact amount, however, can vary by not only state buy also city. Homeowners in certain cities pay substantially less compared to others in pricier areas.
Here are the 10 cities with the lowest property tax burdens, according to SmartAsset.
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1. Montgomery, Alabama
Topping the list for cities with the lowest property tax burden was Montgomery, Alabama. The southern city boasted a property tax rate of 1.1%. Homeowners in the city paid a median annual property taxes of $917 and have a median household income of $86,442. Accordingly, median monthly housing costs in the capital city were $1,406.
2. Huntsville, Alabama
According to the study, three Alabama cities top the list for lowest property tax burdens. Ranking second was Huntsville. The heavily populated city had a property tax rate of 1.3% with median monthly housing costs of $1,748. As reported by Zillow, the average home value in the city was $278,544, down 0.8% compared to the previous year.
3. Mobile, Alabama
The third Alabama city on the list with the lowest property tax burden was Mobile. The birthplace of America's Mardi Gras had a property tax as percentage of income of 1.3%. The median income of Mobile households with a mortgage was $81,435, as reported in the study.
4. Tempe, Arizona
Ranking fourth, according to the SmartAsset study, was Tempe, Arizona. For homeowners in the college town 1.3% of their income went to property taxes. Median annual property taxes were $1,893, while the median income of households with a mortgage was $141,615.
5. Sunrise Manor, Nevada
Another southwestern city to make the list of places with the lowest property tax burden was Sunrise Manor, Nevada. The city, located to the east of Las Vegas, had a property tax rate of 1.4%, as a percentage of income. Median annual property taxes were $1,233 and the median income of households with a mortgage was $88,497.
6. Glendale, Arizona
Tempe was not the only Arizona city to rank among the places with the lowest property tax burden. Ranking sixth on the list was Glendale. Property taxes as a percentage of income were 1.40%, while median monthly housing costs were $1,801. Property taxes may be low in the city, but the cost of living is considerable. According to BestPlaces, cost of living in Glendale is 13% higher than the average in the U.S. and 6.2% higher than the state average.
7. Charleston, South Carolina
In Charleston, South Carolina, homeowners paid 1.42% in property taxes as a percentage of their income. The median annual property taxes paid were $2,241 and the median monthly housing costs were $2,322. The southern city also had a median income of households with a mortgage of $158,042.
8. Mesa, Arizona
Coming in 8th for the cities with the lowest property tax burden was Mesa, Arizona. According to the SmartAsset study, the property tax rate as a percentage of income was 1.4%. Median annual property taxes paid in the city were $1,723 and median monthly housing costs were $1,980.
9. Lafayette, Louisiana
Lafayette ranks 9th on the list for cities with the lowest tax burden in the US. The study reported that property taxes as a percentage of income were slightly over 1.4%. Additionally, median annual property taxes paid in the city were $1,528, while the median income of households with a mortgage was $107,136.
10. Chandler, Arizona
Rounding out the top ten cities with lowest tax property burden was Chandler, Arizona. The southwestern city had a property tax rate of slightly less than 1.5%. The median annual property taxes paid were $2,153 and the median monthly housing costs was $2,095, according to the study.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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