Alaska vs Illinois
Property Tax Comparison: Alaska vs. Illinois
Based on the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Introduction
Both Alaska and Illinois levy property taxes that fund local services such as schools, roads, and public safety. The most recent ACS data show that Alaska’s effective property‑tax rate is lower than Illinois’s, while median home values and household incomes differ between the two states. The following side‑by‑side table summarizes the key metrics used in this comparison.
Side‑by‑Side Comparison
| Metric | Alaska | Illinois |
|---|---|---|
| Effective property‑tax rate | 1.14 % | 2.07 % |
| Median home value | $333,300 | $250,500 |
| Median annual property tax | $3,785 | $5,189 |
| Tax on a $250,000 home | $2,839 | $5,179 |
| Tax on a $500,000 home | $5,678 | $10,357 |
| Median household income | $89,336 | $81,702 |
Sources: According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Who Wins on Property Tax Rate?
Alaska has the lower effective property‑tax rate (1.14 % vs. 2.07 %).
- Rate difference: 0.94 percentage points, representing a 45.18 % lower rate in Alaska.
- Annual tax difference on a $250,000 home: $2,340 less in Alaska.
- Annual tax difference on a $500,000 home: $4,679 less in Alaska.
The lower rate translates into smaller yearly tax bills for comparable property values, which is why Alaska is identified as the “winner” in this specific tax‑rate comparison.
Relevance for Different Audiences
| Audience | Implications of the Comparison |
|---|---|
| Current homeowners | Owners of homes valued near the median will pay lower annual property taxes in Alaska than in Illinois, assuming comparable local service levels. |
| Prospective homebuyers | Buyers comparing states should factor the effective tax rate alongside home‑price differences; a higher median home value in Alaska may offset some of the tax advantage. |
| Retirees | Since property taxes often affect fixed‑income budgets, retirees may find Alaska’s lower rate advantageous, though other cost‑of‑living factors (e.g., climate, healthcare access) also matter. |
| Real‑estate investors | The tax differential can influence cash‑flow projections; lower taxes in Alaska improve net operating income for rental properties of similar value. |
| Policy analysts | The data illustrate how tax policy varies across states, providing a baseline for evaluating fiscal structures and their impact on households. |
Additional Resources
- Detailed information on Alaska’s property‑tax system: Alaska property tax
- Detailed information on Illinois’s property‑tax system: Illinois property tax
All figures are drawn from the 2023 ACS 5‑year estimates. Values are presented in U.S. dollars and percentages as reported by the U.S. Census Bureau.
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.