When you’re calculating how much home you can afford, don’t forget to factor in property taxes.
This annual bill is one of the most important expenses tied to homeownership, but it might not always be top of mind. Property taxes are one of the primary ways your local government funds itself, and your city or county can even foreclose on your property if you don’t pay on time.
That means property taxes are vitally important to your mortgage lender as well — so much so that you probably have an escrow account set up to make sure your tax bill is covered on your behalf.
Property tax rates vary from state to state, and some places have jaw-dropping tax burdens — including several states in the Northeast region. Keep reading for a breakdown of the states with the largest average property taxes for homeowners.