Hawaii has the LOWEST property tax in the USA

Real Estate Agent with Resort and Second-Home Specialist REALTOR Broker #21673

Many people see Hawaii as an expensive place to live. It's true our fuel, food and some other costs are higher than much of the USA. But our property tax is FAR lower than many states. When I moved here from California our expenses went down because we save so much on property tax. A recent survey by WalletHub ranked Hawaii as the #1 state for the lowest average property tax.

Contact me if you are interested in owning an affordable home on the islands.

Property taxes are a significant expense for most home owners and in some states it is the biggest expense other than mortgage payments. According to WalletHub the average American spends $2,089 on property taxes annually.

Where does your state rank? Here's WalletHub's 2015 list of the top ten states with LOWEST property taxes on real estate.

  1. Hawaii: $482
  2. Alabama: $752
  3. Louisiana: $832
  4. Delaware: $917
  5. South Carolina: $984
  6. District of Columbia: $1,001
  7. West Virginia: $1,015
  8. Arkansas: $1,068
  9. Wyoming: $1,069
  10. Colorado: $1,089​

And here's the 2015 list of the top ten states with HIGHEST property taxes on real estate.

  1. New Jersey: $3,971
  2. Illinois: $3,939
  3. New Hampshire: $3,649
  4. Wisconsin: $3,398
  5. Texas: $3,327
  6. Connecticut: $3,301
  7. Nebraska: $3,228
  8. Michigan: $3,168
  9. Vermont: $2,934
  10. Rhode Island: $2,779

Hawaii can be very affordable for home owners making a move from one of the many states that have substantially higher tax on real estate. Contact me if you are interested in owning a primary or second home on the islands.

Posted by


Please call or email me if you are considering selling or buying a property on Kauai. I work with a sales team that are experts at helping you make the right move!


Kathleen Luiten, REALTOR Broker                                                                         


CENTURY 21 All Islands


Email: kathleen.luiten@hawaiimoves.com                                                                       


Don't just dream, call Kathleen!


Comments (26)

Lisa Von Domek
Lisa Von Domek Team - Dallas, TX
....Experience Isn't Expensive.... It's Priceless!

Hello Kathleen,

Great post highlighting another plus for Hawaiian life!

Apr 24, 2015 12:20 PM
Susan Emo
Sotheby's International Realty Canada - Brokerage - Kingston, ON
Kingston and the 1000 Islands Area

Just in case we needed one more reason to dream about relocating to the islands, LOL !   Great post pointing out what few actually knew.

Apr 25, 2015 05:05 AM
Rob Thomas
Prestige Homes of The Tri Cities, Inc. CALL....423-341-6954 - Bristol, TN
Bristol TN-VA & Tri Cities Agent, ABR, GRI, e-Pro

Kathleen Luiten ....I would never have guessed that ...That's a great reason to move there ...

Have a great weekend!

Apr 26, 2015 06:26 AM
Curtis Van Carter
Better Homes & Gardens Wine Country Group - Yountville, CA
Your Napa Valley Broker Extraordinaire


What I find missing is what is the value of the homes that make this average. I feel percentages are a better comparison number. I see your are in Princeville. I spent a great week with a friend in Moala Bay. Fun time, cheers cvc

Apr 26, 2015 06:35 AM
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I was surprised to read that Hawaii has the lowest property tax. 

Apr 28, 2015 09:21 PM
Barbara Altieri
Better Homes and Gardens RE Shore and Country Properties - Shelton, CT
REALTOR-Fairfield County CT Homes/Condos For Sale

Kathleen -- That is certainly a positive marketing tool along with everything else Hawaii has to offer which basically speaks for itself!

Apr 30, 2015 02:33 AM
Noah Seidenberg
Coldwell Banker - Evanston, IL
Chicagoland and Suburbs (800) 858-7917

I would love to check out out Hawaii Kathleen, I did know about the tax scene.

May 02, 2015 04:13 AM
Kathleen Luiten
Resort and Second-Home Specialist - Princeville, HI
Kauai Luxury Ocean Home Sales

Thanks for all the comments, always appreciated! 

May 02, 2015 04:38 AM
Evelyn Johnston
Friends & Neighbors Real Estate - Elkhart, IN
The People You Know, Like and Trust!

We are probably an average of about $1,500 in our marketplace, and it is capped at 1% of the assessed value for residential, 2 % for rentals and 3% for commercial properties.

May 02, 2015 01:44 PM
Barbara Michaluk
Weichert Realtors | Silver Spring, MD Phone Direct 240-506-2434 - Silver Spring, MD
Leisure World Specialist / Full Service REALTOR

Kathleen, this is important information about taxes for anyone thinking of moving to Hawaii. I consider it "Heaven on Earth."

May 02, 2015 09:38 PM
Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Tropic Shores Realty - Ich spreche Deutsch! - Spring Hill, FL
Florida Waterfront and Country Club Living

Kathleen, I hadn't expected that neither.  I think it would be worth for many people to consider a move to Hawaii! 

May 03, 2015 09:27 AM
S. Leanne Paynter ☼ Broward County, FL
United Realty Group, Inc. - Davie, FL
Davie, Plantation, Cooper City & Weston Specialist

I would've never thought Hawaii has the lowest property taxes in the U.S. - very surprising!  I checked it out and Florida is #29 but at least we don't have any state (individual) income tax or vehicle property tax.

May 03, 2015 11:16 AM
Katina Hargrove 352-551-0308
Stake Your Land Realty, Inc. - Eustis, FL
Broker/Owner, GRI,SFR, REALTOR®

Good morning Katheleen,

My brother did own a home in Hawaii, he mentioned everything being more expensive, but nothing about the property taxes. I am glad you informed us and I am sure glad I did no see Florida in the top  10.

S. Leanne Paynter,

Thank you for the information given on Florida

May 03, 2015 09:15 PM
David Stevens
Royal LePage Coast Capital Realty, Victoria BC Canada - Victoria, BC
Royal LePage Coast Capital Realty

Hi Kathleen, that's a very interesting statistic - I wish I could say the same for Victoria, BC (which, I might add, is also Paradise )

May 04, 2015 07:43 AM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Kathleen Luiten 

I had no idea and certainly expected a higher rate. What is this based on? So this is the average per person? Amazing.

People often complain about CA but I tell them that we are certainly not the highest. I'm surprised MA is not on the top 10 list - I recall taxes there being pretty high when I lived there


May 05, 2015 01:48 PM
Adrian Willanger
206 909-7536 AdrianWillanger-broker.com - Seattle, WA
Profit from my two decades of experience

Hi Kathleen, I would have never guessed Hawaii as having the lowest taxes. My state, Washington, is in the upper 1/3.

May 11, 2015 07:55 AM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

I don't know about your island, but here on Maui they will be lowering the property tax rates for 2016.  What's nice about living in Hawaii also, you can grow your own food all year long, and save a lot more money.

May 19, 2015 12:56 PM
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

Wow Kathleen, that's awesome.  I would never have guessed this.  Great info.

May 22, 2015 09:35 PM
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Kathleen, we have seen such a jump in home values, the taxes too are sky rocketing!  

May 23, 2015 09:48 AM
Kathleen Luiten
Resort and Second-Home Specialist - Princeville, HI
Kauai Luxury Ocean Home Sales

Joan Cox our value have gone up a lot too, so we've seen a big increase in our tax bill. But it is still delightfully low compared to other states. Nice since our home prices average higher than most areas.

May 23, 2015 01:48 PM