Alabama vs Virginia
Property‑Tax Comparison: Alabama vs. Virginia
According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Alabama and Virginia differ noticeably in effective property‑tax rates, median home values, and the resulting annual tax bills. The data show that Alabama’s property‑tax burden is lower than Virginia’s across the metrics examined.
Side‑by‑side metrics
| Metric | Alabama | Virginia |
|---|---|---|
| Effective property‑tax rate | 0.38 % | 0.74 % |
| Median home value | $195,100 | $360,700 |
| Median annual property tax | $738 | $2,686 |
| Property tax on a $250,000 home | $946 | $1,862 |
| Property tax on a $500,000 home | $1,892 | $3,724 |
| Median household income | $62,027 | $90,974 |
All figures are from the 2023 ACS 5‑year estimates.
Which state “wins” on property tax?
- Winner (lower tax rate): Alabama
- Tax‑rate difference: 0.37 % (approximately a 49.20 % lower effective rate than Virginia)
- Annual tax difference on a $250,000 home: $916 (Alabama $946 vs. Virginia $1,862)
- Annual tax difference on a $500,000 home: $1,832 (Alabama $1,892 vs. Virginia $3,724)
Why Alabama ranks lower – The effective property‑tax rate of 0.38 % in Alabama is roughly half the 0.74 % rate in Virginia. Because the rate is applied to the assessed value of the property, the lower rate translates directly into lower annual tax bills for comparable home values.
Who is likely to benefit most from this comparison?
| Audience | Relevance of the data |
|---|---|
| Current homeowners | Those evaluating a refinance, home‑sale, or relocation can compare expected annual tax costs. |
| Prospective homebuyers | Buyers looking for lower ongoing property‑tax expenses may find Alabama’s rates more favorable. |
| Retirees and fixed‑income households | Lower tax bills can reduce the overall cost of living; Alabama’s median household income is also lower, which may make the relative tax burden more significant for residents with limited income. |
| Real‑estate investors | Investors comparing cash‑flow projections across states should factor the 49 % lower effective tax rate in Alabama. |
The comparison is purely fiscal; it does not address other considerations such as local services, school funding, or broader tax structures.
Sources
- U.S. Census Bureau, 2023 American Community Survey (5‑year estimates).
- Internal references: Alabama property tax | Virginia property tax
Based on the most recent ACS estimates, Alabama imposes a lower effective property‑tax rate than Virginia, resulting in substantially lower annual taxes for comparable property values.
Explore More Comparisons
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.