Alabama vs South Carolina
Property‑Tax Comparison: Alabama vs. South Carolina
Overview
Both Alabama and South Carolina have property‑tax systems that are funded primarily at the local (county and municipal) level. According to the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates), Alabama’s effective property‑tax rate is lower than South Carolina’s, which results in lower annual taxes for comparable home values. The data also show differences in median home values, median household incomes, and the amount of tax paid on typical $250,000 and $500,000 homes.
Side‑by‑side metrics
| Metric (2023 ACS) | Alabama | South Carolina |
|---|---|---|
| Effective property‑tax rate | 0.38 % | 0.51 % |
| Median home value | $195,100 | $236,700 |
| Median annual property tax | $738 | $1,199 |
| Property tax on a $250,000 home | $946 | $1,266 |
| Property tax on a $500,000 home | $1,892 | $2,532 |
| Median household income | $62,027 | $66,818 |
| Internal link – Alabama | Alabama property tax | |
| Internal link – South Carolina | South Carolina property tax |
All figures are from the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).
Which state “wins” on property tax?
Alabama has the lower effective property‑tax rate (0.38 % vs. 0.51 %).
- The rate difference is 0.13 percentage points, which represents a 25.31 % lower rate relative to South Carolina’s rate.
- For a $250,000 home, the annual tax in Alabama is $946, versus $1,266 in South Carolina – a difference of $320 per year.
- For a $500,000 home, the annual tax in Alabama is $1,892, versus $2,532 in South Carolina – a difference of $640 per year.
Because the comparison is based on the effective tax rate, Alabama is the “winner” for property‑tax purposes.
Who is likely to benefit most from this comparison?
| Audience | Relevance of the tax difference |
|---|---|
| Current homeowners | Lower ongoing property‑tax payments in Alabama reduce annual housing costs, especially for owners of higher‑valued homes. |
| Prospective homebuyers | The lower tax rate can make Alabama more affordable when budgeting for total housing expenses. |
| Retirees on fixed incomes | Reduced property taxes may help stretch limited retirement income, though other cost‑of‑living factors should also be considered. |
| Real‑estate investors | Lower tax liability can improve cash‑flow projections for rental properties or investment holdings. |
| Policy analysts | The data illustrate how state‑level tax structures differ, useful for comparative fiscal studies. |
The comparison is factual and does not account for other tax categories (e.g., income or sales taxes), public‑service quality, or individual financial circumstances. Users should evaluate the complete tax environment and cost‑of‑living factors when making location decisions.
References
- According to the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).
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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.