Arizona vs Montana
Property Tax Comparison: Arizona vs. Montana
Short introduction
Both Arizona and Montana levy property taxes that fund local services such as schools, roads, and public safety. According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Arizona’s effective property‑tax rate is lower than Montana’s, resulting in smaller annual tax bills for comparable home values. The tables and calculations below present the key metrics side by side.
Side‑by‑side comparison
| Metric (2023 ACS) | Arizona | Montana |
|---|---|---|
| Effective property‑tax rate | 0.52 % | 0.75 % |
| Median home value | $358,900 | $338,100 |
| Median annual property tax | $1,858 | $2,535 |
| Tax on a $250,000 home | $1,294 | $1,875 |
| Tax on a $500,000 home | $2,589 | $3,749 |
| Median household income | $76,872 | $69,922 |
Sources: All figures are from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which state “wins” on property taxes?
- Winner (lower tax rate): Arizona
- Rate difference: 0.23 % (Arizona is 30.95 % lower than Montana)
- Annual tax difference on a $250,000 home: $581 less in Arizona
- Annual tax difference on a $500,000 home: $1,160 less in Arizona
Why Arizona wins: The effective property‑tax rate of 0.52 % in Arizona is materially lower than Montana’s 0.75 %. Because the rate is applied to assessed property values, the lower rate translates directly into lower annual tax payments for identical home values, as illustrated by the $581 and $1,160 differences for $250 k and $500 k homes respectively.
For more detailed state‑specific information, see the internal pages on Arizona property tax and Montana property tax.
Who is likely to benefit most from this comparison?
| Audience | Relevance of the data |
|---|---|
| Current homeowners | Understanding how their property‑tax burden compares across states can inform decisions about relocation or refinancing. |
| Prospective homebuyers | Buyers evaluating affordability can use the effective tax rate and median tax amounts to estimate total housing costs. |
| Retirees | Since retirees often rely on fixed incomes, a lower property‑tax rate (as in Arizona) may affect the overall cost of living and budget planning. |
| Real‑estate investors | Investors can assess tax expenses as part of the cash‑flow analysis for properties in each market. |
| Policy analysts | The side‑by‑side metrics provide a baseline for comparing fiscal policy impacts on households in the two states. |
All conclusions are based on the most recent ACS estimates and do not incorporate other cost‑of‑living factors such as state income tax, sales tax, or utility costs. Readers should consider those additional variables when making comprehensive financial decisions.
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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.