NH had seventh-highest effective property tax rate in 2021, report says

Average single-family tax bill in state was $6,698, study finds

Property Tax Bill

New Hampshire had one of the 10 highest effective tax rates in the country in 2021, according to a study by Attom, a California-based real estate data firm.

Attom reported that New Hampshire’s effective tax rate – calculated using the average annual property tax expressed as a percentage of the average estimated market value of residences in the state – was 1.35 percent, tied with New York state for the seventh-highest in the country. Attom also said that single-family homeowners in New Hampshire paid an average annual tax of $6,698 – the fourth-highest amount in the country, just $79 below Massachusetts.

According to Attom, $328 billion in property taxes were levied on single-family homes last year, up from $323 billion in 2020.

The five highest 2021 effective property tax rates were found in in Illinois (1.86 percent), New Jersey (1.73 percent), Connecticut (1.67 percent), Vermont (1.55 percent) and Pennsylvania (1.37 percent). They were followed by Nebraska (1.36 percent), New Hampshire (1.35 percent), New York (1.35 percent), Texas (1.31 percent) and Iowa (1.31 percent).

The lowest effective tax rates in 2021 were in Hawaii (0.27 percent), Alabama (0.37 percent), Utah (0.39 percent), Arizona (0.41 percent), Nevada (0.41 percent), were Idaho (0.43 percent), Colorado (0.43 percent), Tennessee (0.45 percent), West Virginia (0.5 percent) and South Carolina (0.5 percent).

Nationally, the average effective tax rate in 2021 was 0.9 percent, the report said.

Attom reported the average tax on single-family homes in the U.S. last year increased at the smallest pace in the past five years, up 1.8 percent from $3,719 in 2020 to $3,785 in 2021.

“It’s hardly a surprise that property taxes increased in 2021, a year when home prices across the country rose by 16 percent,” said Rick Sharga, executive vice president of market intelligence at Attom. “In fact, the real surprise is that the tax increases weren’t higher, which suggests that tax assessments are lagging behind rising property values and will likely continue to go up in 2022.”

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