Colorado vs Florida
Property‑Tax Comparison: Colorado vs. Florida
Intro
Both Colorado and Florida are popular destinations for homebuyers, retirees, and investors, but the two states differ markedly in how they fund local services through property taxes. Using the most recent data from the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates), the following tables and analysis compare effective property‑tax rates, home values, tax payments, and household incomes in the two states.
Side‑by‑side metrics
| Metric | Colorado | Florida |
|---|---|---|
| Effective property‑tax rate | 0.49 % | 0.79 % |
| Median home value | $502,200 | $325,000 |
| Median annual property tax | $2,448 | $2,555 |
| Property tax on a $250,000 home | $1,219 | $1,966 |
| Property tax on a $500,000 home | $2,438 | $3,931 |
| Median household income | $92,470 | $71,711 |
Sources: “According to the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).”
Who wins on property‑tax rates?
- Winner (lower rate): Colorado
- Tax‑rate difference: 0.30 percentage points, which is a 37.99 % lower effective rate than Florida’s.
- Annual tax difference on a $250k home: $747 lower in Colorado ($1,219 vs. $1,966).
- Annual tax difference on a $500k home: $1,493 lower in Colorado ($2,438 vs. $3,931).
Why Colorado wins
The lower effective tax rate (0.49 % vs. 0.79 %) directly reduces the dollar amount of tax owed on any given property value. Even though Colorado’s median home price is higher, the tax burden remains lower because the rate applied to assessed values is smaller. Consequently, homeowners with comparable property values pay less in annual property tax in Colorado than in Florida.
Which audiences benefit most from this comparison?
| Audience | Relevance of the data |
|---|---|
| Current or prospective homeowners | Understanding the ongoing cost of owning a home in each state helps with budgeting and long‑term financial planning. |
| Retirees | Property taxes can be a significant component of fixed‑income expenses; a lower rate may make Colorado more attractive for retirees seeking to minimize yearly outlays. |
| Real‑estate investors | Tax differentials affect cash‑flow projections and return‑on‑investment calculations; Colorado’s lower rate can improve net operating income. |
| Policy analysts / local officials | The comparison highlights how differing tax structures influence revenue generation and affordability across states. |
The data are purely descriptive; they do not account for other cost‑of‑living factors (e.g., sales tax, income tax, insurance) that may also influence decision‑making.
Further reading
- Detailed information on Colorado’s property‑tax system: Colorado property tax
- Detailed information on Florida’s property‑tax system: Florida property tax
Based on the most recent ACS estimates, Colorado’s effective property‑tax rate is lower than Florida’s, resulting in smaller annual tax payments 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.