Colorado Property Tax Overview

This article summarizes the most recent data on property taxes in Colorado. All figures are drawn from the U.S. Census Bureau’s American Community Survey (ACS) 5‑year estimates for 2023 unless otherwise noted.

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Key Statistics

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Property Tax Calculations

The effective tax rate of 0.49 % can be applied to any assessed home value to estimate the annual tax bill.

*Calculated as Home Value × 0.0049 (0.49 %). These amounts are illustrative; actual bills may differ because of county‑specific rates, exemptions, and assessment practices.

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Comparison to the National Average

• Effective tax rate: Colorado’s 0.49 % versus the national average of 0.97 %.
• Relative difference: Colorado’s rate is 49.62 % lower than the national average.
• Ranking: The state ranks fourth among the 52 U.S. states and territories with the lowest effective property tax rates.

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Variation by County

Colorado property tax rates are not uniform across the state. Each of the 64 counties sets its own mill levy, which determines the local portion of the tax bill. Consequently:

• County mill rates can cause the effective rate to be slightly higher or lower than the state average of 0.49 %.
• Special districts (e.g., fire protection, water, schools) may add additional levies that vary by locality.

Homeowners should consult the specific county assessor’s office or the Colorado Department of Revenue for precise rates applicable to a particular property.

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Considerations for Retirees and Landlords

Retirees

• Lower effective tax rate means the property tax burden is generally less than in many other states.
• Tax exemptions: Colorado offers a senior exemption for qualifying homeowners (age 65+ with income limits), which can further reduce the taxable amount.
• Assessment frequency: Residential properties are reassessed every four years, providing predictable tax expectations.

Landlords

• Tax base: Rental properties are taxed on assessed market value, the same as owner‑occupied homes.
• Deductibility: Property taxes paid on rental real estate are deductible as a business expense on federal income tax returns.
• Rate consistency: Because Colorado’s overall effective rate is below the national average, landlords may experience a relatively lower tax cost compared with many other jurisdictions, though county variations still apply.

All statements above are factual descriptions of tax structure and available exemptions; they do not constitute a recommendation.

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Frequently Asked Questions

1. How is the Colorado property tax rate calculated?
The effective rate (0.49 %) is derived from the total property tax revenue divided by the total assessed property value statewide. Individual counties set mill levies, which are applied to the assessed value of each property to generate the final tax bill.

2. Does Colorado offer any exemptions that lower property taxes?
Yes. Colorado provides a senior exemption for eligible homeowners (age 65 or older) that reduces the taxable value of the primary residence. Additional exemptions may be available for disabled veterans, agricultural land, and other qualifying uses.

3. Will my property tax bill change if I move to a different county within Colorado?
Potentially. Since each county determines its own mill levy and may have additional district levies, the effective tax rate can vary. Homeowners should compare county‑specific rates and any local exemptions when evaluating property tax costs.

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References

• U.S. Census Bureau, American Community Survey 5‑year estimates (2026).
• Colorado Department of Revenue, Property Tax Information.

All monetary figures are presented in U.S. dollars and are rounded to the nearest dollar.