Alaska vs California
California
Property‑Tax Comparison: Alaska vs. California
Introduction
Both Alaska and California have sizable housing markets, but they differ markedly in the way property taxes are assessed. According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Alaska’s effective property‑tax rate is higher than California’s, while California’s median home values are roughly double those in Alaska. The following sections present the key metrics side by side, identify which state has the lower rate, and outline the groups for whom the comparison is most relevant.
Side‑by‑Side Metrics
| Metric | Alaska | California |
|---|---|---|
| Effective property‑tax rate | 1.14 % | 0.71 % |
| Median home value | $333,300 | $695,400 |
| Median annual property tax | $3,785 | $4,926 |
| Property tax on a $250,000 home | $2,839 | $1,771 |
| Property tax on a $500,000 home | $5,678 | $3,542 |
| Median household income | $89,336 | $96,334 |
| Internal link | Alaska property tax | California property tax |
All figures are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which State “Wins” on Property‑Tax Rate?
California has the lower effective property‑tax rate at 0.71 %, compared with Alaska’s 1.14 %. The rate difference is 0.43 percentage points, which represents a 37.62 % lower rate in California.
- Annual tax on a $250,000 home: California’s tax ($1,771) is $1,068 less than Alaska’s ($2,839).
- Annual tax on a $500,000 home: California’s tax ($3,542) is $2,136 less than Alaska’s ($5,678).
Because the comparison is based strictly on the effective tax rate, California is the “winner” for taxpayers seeking the lower percentage of property value paid as tax.
Who Might Find This Comparison Most Useful?
| Audience | Relevance of the Data |
|---|---|
| Current or prospective homeowners | Understanding how the tax rate translates into annual payments for homes at different price points helps in budgeting and mortgage planning. |
| Retirees and fixed‑income households | Lower tax rates can reduce the ongoing cost of homeownership, which is a significant factor for those on a fixed income. |
| Real‑estate investors | Effective tax rates affect cash‑flow projections and total return on investment, especially when comparing properties across states. |
| Policy analysts and researchers | The side‑by‑side ACS data provide a baseline for studying the relationship between tax policy, home values, and household income. |
The comparison does not consider other fiscal factors such as state income tax, sales tax, or local fee structures, which may also influence overall cost of living.
Sources
- U.S. Census Bureau, 2023 American Community Survey (5‑year estimates) – property‑tax rates, median home values, median household incomes.
- Internal references: Alaska property tax, California property tax.
Based on the most recent ACS estimates, the figures above reflect the average conditions for the respective states.
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.