While each US state requires homeowners to pay property taxes — which fund public schools, police and fire departments, and the construction of city streets and roads — the amount can vary from one city to the next. The sum often depends on several factors including, location, home prices and tax laws. how much homeowners are paying for property taxes in 50 of the nation's largest metropolitan areas. The company analyzed data from the Census Bureau on the median amount paid each fiscal year.
Take Birmingham, Alabama, for example, where homeowners pay the lowest property taxes on the list of an average of $995 a year. That's a staggering $8,096 cheaper than the property taxes of those living in New York. Jacob Channel, the chief economist at LendingTree, told Insider that the robust numbers of people moving to southern states and higher home prices are resulting in steady real-estate tax increases in previously affordable cities like Austin and Dallas.