Higher home values and local costs contribute to 2.7% increase in average tax bills
Homeowners across the United States saw their average property tax bill climb again in 2024, even as overall tax collections declined slightly and effective tax rates eased, according to a new report from ATTOM.
The company’s 2024 property tax analysis, which covers 85.7 million single-family homes, found that the average property tax bill rose to $4,172, a 2.7% increase from the year prior. In comparison, the average increase in 2023 was 4.1%. Total property taxes levied on single-family homes nationwide reached $357.5 billion, down 1.6% from 2023.
“While rising home values can influence property taxes, they don't automatically lead to higher bills for homeowners,” said Rob Barber, CEO of ATTOM. “In many areas, we've seen taxes increase not just due to property appreciation, but also because of growing costs to operate local governments and schools or shifts in how tax burdens are distributed.”
The average effective property tax rate, the ratio of property taxes to estimated market value, dipped to 0.86% in 2024, down slightly from 0.87% in 2023. The report noted that New York was excluded from the national analysis due to data limitations.
ATTOM based its findings on data collected from county tax assessor offices across the country and used automated valuation models (AVMs) to estimate market values for single-family homes. The resulting effective tax rate reflects the annual tax burden as a percentage of market value within each geographic area.
The drop in effective tax rates comes as home values rebounded nationwide. In 2024, the average estimated home value rose 4.8% to $486,456, reversing a 1.7% decline in 2023, the first national dip in home prices in years.
Despite the modest increase in property tax bills, homeownership affordability remains strained across the country. ATTOM’s separate affordability report for Q1 2025 found that median-priced homes and condos remain less affordable than historical averages in 97% of analyzed counties, underscoring the continued pressure from high home prices and interest rates.
The national median home price dipped slightly in early 2025 to $351,000, reflecting typical seasonal slowdowns during the winter months. However, with mortgage rates still hovering near 7%, the decline has not been enough to restore affordability.
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Barber noted that regional tax burdens continue to vary sharply, with homeowners in the Northeast and Midwest generally facing higher effective tax rates and home values, which often support more extensive local services. In contrast, property tax burdens in the South and West tend to be lower, reflecting both lower home values and regional tax structures.
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