Alabama vs Oklahoma
Property‑Tax Comparison: Alabama vs. Oklahoma
Intro
Both Alabama and Oklahoma levy property taxes at the county, municipal, and school‑district levels. According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Alabama’s effective property‑tax rate is 0.38 %, while Oklahoma’s is 0.82 %. The lower rate in Alabama translates into lower annual tax bills for comparable home values, which can be an important factor for prospective homeowners, current residents, and retirees evaluating the cost of living in each state.
Side‑by‑Side Metrics
| Metric (2023 ACS) | Alabama | Oklahoma |
|---|---|---|
| Effective property‑tax rate | 0.38 % | 0.82 % |
| Median home value | $195,100 | $185,900 |
| Median annual property tax | $738 | $1,520 |
| Property tax on a $250,000 home | $946 | $2,044 |
| Property tax on a $500,000 home | $1,892 | $4,088 |
| Median household income | $62,027 | $63,603 |
| Link to state‑specific page | Alabama property tax | Oklahoma property tax |
Which State “Wins” on Property Taxes?
Winner (lower tax rate): Alabama
Reasoning
- Effective tax rate: Alabama’s 0.38 % is 0.44 % points lower than Oklahoma’s 0.82 %, a relative difference of roughly 53.7 %.
- Annual tax on a $250,000 home: Alabama collectors receive $946, while Oklahoma collects $2,044, a difference of $1,098 per year.
- Annual tax on a $500,000 home: The gap widens to $2,196 per year ($1,892 in Alabama vs. $4,088 in Oklahoma).
Because the effective tax rate is the primary driver of these dollar amounts, Alabama consistently imposes lower property‑tax burdens across the home‑value range examined.
Who Might Find This Comparison Most Relevant?
| Audience | Why the data matters |
|---|---|
| Current or prospective homeowners | Property‑tax bills directly affect monthly housing costs and overall affordability. Lower rates in Alabama could reduce long‑term ownership expenses. |
| Retirees | Fixed‑income households often prioritize low recurring taxes; a lower effective rate can help stretch retirement savings. |
| Real‑estate investors | Investment return calculations include property‑tax expenses; a lower rate improves net cash flow. |
| Policy analysts or local officials | The figures illustrate how state‑level tax structures differ and can inform discussions on fiscal policy or tax reform. |
All groups should also consider other cost‑of‑living factors (e.g., income taxes, sales taxes, health‑care costs) alongside property taxes when evaluating overall affordability.
Reference
According to U.S. Census Bureau data from the 2023 American Community Survey (5‑year estimates), the metrics presented above reflect the most recent publicly available estimates for effective property‑tax rates, home values, and household incomes in Alabama and Oklahoma.
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Discover how property taxes compare across all states in our comprehensive comparison guide.
Data Source
All figures are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates). This comprehensive dataset provides reliable, standardized property tax information across all states.