Arkansas vs North Carolina
Property‑Tax Comparison: Arkansas vs. North Carolina
Intro
Both Arkansas and North Carolina 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 lower than North Carolina’s, which results in smaller annual tax bills for comparable home values. The following table presents the key metrics side‑by‑side.
Side‑by‑Side Metrics
| Metric | Arkansas | North Carolina |
|---|---|---|
| Effective property‑tax rate | 0.57 % | 0.70 % |
| Median home value (2026) | $175,300 | $259,400 |
| Median annual property tax | $1,003 | $1,815 |
| Property tax on a $250,000 home | $1,431 | $1,749 |
| Property tax on a $500,000 home | $2,861 | $3,499 |
| Median household income (2026) | $58,773 | $69,904 |
| Internal link – Arkansas | Arkansas property tax | |
| Internal link – North Carolina | North Carolina property tax |
All figures are derived from the U.S. Census Bureau’s 2023 ACS 5‑year estimates.
Who Wins on Property Tax?
- Winner (lower tax rate): Arkansas
- Rate difference: 0.13 percentage points, which is an 18.22 % lower effective tax rate than North Carolina.
- Annual tax difference for a $250k home: $1,749 − $1,431 = $318 less in Arkansas.
- Annual tax difference for a $500k home: $3,499 − $2,861 = $638 less in Arkansas.
Why Arkansas scores lower: The effective property‑tax rate of 0.57 % is below the national median (approximately 0.80 %). North Carolina’s rate of 0.70 % is higher, leading to larger tax bills even though both states use similar assessment practices.
Which Homeowners Benefit Most?
| Audience | Relevance of the Comparison |
|---|---|
| Current homeowners | Those who already own property in either state can see how a change of residence would affect their yearly tax obligations. |
| Prospective buyers | Buyers evaluating homes near $250k–$500k will notice a measurable tax advantage in Arkansas. |
| Retirees and fixed‑income households | Lower annual taxes can reduce the overall cost of living, making Arkansas potentially more affordable for retirees on a fixed income. |
| Investors | Investors comparing cash‑flow projections for rental properties should factor the lower tax expense in Arkansas. |
| Policy analysts | The data illustrate how state‑level tax policy influences household expenses relative to median income. |
All groups benefit from factual, data‑driven insight; the comparison does not imply broader quality‑of‑life differences, only the property‑tax component.
Summary
Based on the most recent ACS estimates, Arkansas imposes a lower effective property‑tax rate (0.57 %) than North Carolina (0.70 %). This translates to annual tax savings of $318 on a $250,000 home and $638 on a $500,000 home. Homeowners, retirees, and investors who prioritize lower property‑tax burdens may find Arkansas more advantageous, while other considerations (e.g., employment opportunities, climate) remain outside the scope of this tax‑focused analysis.
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.