Arkansas vs Iowa
Arkansas vs. Iowa – Property‑Tax Comparison (2023 ACS)
Intro
Both Arkansas and Iowa 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), Arkansas’s effective property‑tax rate is substantially lower than Iowa’s, which results in lower annual tax bills for comparable home values.
Side‑by‑side metrics
| Metric (2023 ACS) | Arkansas | Iowa |
|---|---|---|
| Effective property‑tax rate | 0.57 % | 1.43 % |
| Median home value | $175,300 | $195,900 |
| Median annual property tax | $1,003 | $2,795 |
| Property tax on a $250,000 home | $1,431 | $3,567 |
| Property tax on a $500,000 home | $2,861 | $7,134 |
| Median household income | $58,773 | $73,147 |
Sources: “According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).”
Which state has the lower tax burden?
Winner (lower tax rate): Arkansas
- Rate difference: 1.43 % – 0.57 % = 0.86 % (approximately 0.85 % as reported), which is a 59.9 % lower effective rate in Arkansas.
- Annual tax difference for a $250 k home: $3,567 – $1,431 = $2,136.
- Annual tax difference for a $500 k home: $7,134 – $2,861 = $4,273.
The lower effective rate in Arkansas translates directly into smaller yearly tax payments for homeowners at the same property values.
Who benefits most from this comparison?
| Audience | Relevance of the comparison |
|---|---|
| Current or prospective homeowners | Lower annual taxes in Arkansas can reduce overall housing costs, especially for buyers of mid‑range homes ($250k–$500k). |
| Retirees on fixed incomes | A lower tax burden may help retirees stretch limited income, making Arkansas comparatively more affordable than Iowa. |
| Real‑estate investors | Investment properties will incur lower property‑tax expenses in Arkansas, influencing cash‑flow calculations. |
| Policy analysts / local governments | The data illustrate how differing tax structures affect revenue generation relative to median household income. |
The comparison is most useful for individuals or entities evaluating the ongoing cost of owning property in either state.
Further reading
- Detailed information on Arkansas property tax: Arkansas property tax
- Detailed information on Iowa property tax: Iowa property tax
Based on the most recent ACS estimates, Arkansas’s effective property‑tax rate is 0.57 % versus Iowa’s 1.43 %, making Arkansas the lower‑tax option for comparable home 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.