Colorado vs Illinois
Colorado vs. Illinois Property Taxes
Intro
Both Colorado and Illinois levy property taxes that fund local services such as schools, police, and road maintenance. According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Colorado’s effective property‑tax rate is less than one‑quarter of Illinois’s rate. The disparity in rates leads to substantially different annual tax bills for comparable home values.
Side‑by‑Side Comparison
| Metric | Colorado | Illinois |
|---|---|---|
| Effective property‑tax rate | 0.49 % | 2.07 % |
| Median home value | $502,200 | $250,500 |
| Median annual property tax | $2,448 | $5,189 |
| Property tax on a $250,000 home | $1,219 | $5,179 |
| Property tax on a $500,000 home | $2,438 | $10,357 |
| Median household income | $92,470 | $81,702 |
| Internal link | Colorado property tax | Illinois property tax |
Key differences
- Tax‑rate gap: Colorado’s rate is 1.58 percentage points lower than Illinois’s, representing a 76.47 % relative difference.
- Annual tax on a $250 k home: Colorado $1,219 vs. Illinois $5,179 → $3,960 less in Colorado.
- Annual tax on a $500 k home: Colorado $2,438 vs. Illinois $10,357 → $7,919 less in Colorado.
Which State “Wins” on Property Taxes?
Based on the lower effective property‑tax rate, Colorado wins. The 0.49 % rate translates into median annual taxes that are less than half of those in Illinois, even though Colorado’s median home value is roughly double that of Illinois. The lower tax burden is a direct result of the smaller rate rather than differences in assessment practices.
Who Is Likely to Benefit Most from This Comparison?
| Audience | Relevance of the Comparison |
|---|---|
| Current or prospective homeowners | Homebuyers can estimate yearly tax costs more accurately when budgeting for a purchase in either state. |
| Retirees | Retirees on fixed incomes often consider property‑tax burden as part of overall affordability; a lower rate may make Colorado more attractive. |
| Real‑estate investors | Investors comparing cash‑flow projections will see a material difference in operating expenses due to the tax rate gap. |
| Policy analysts | The data illustrate how state‑level tax structures affect household costs relative to median incomes. |
All groups should also weigh other factors such as income taxes, cost of living, and local service levels, which are not covered in this property‑tax‑only comparison.
Sources
- According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), the figures above reflect the most recent ACS data available.
- Based on the most recent ACS estimates, Colorado’s effective property‑tax rate is 0.49 % and Illinois’s is 2.07 %.
This article presents a factual, data‑driven comparison of property taxes in Colorado and Illinois without promotional language.
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.