Colorado vs Iowa
Colorado vs. Iowa – Property Tax Comparison
Intro
Both Colorado 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), the two states differ markedly in effective tax rates, median home values, and the resulting annual tax bills. This article presents the key metrics side‑by‑side, identifies which state has the lower rate, and outlines the groups for whom the comparison is most relevant.
Side‑by‑Side Comparison (2023 ACS)
| Metric | Colorado | Iowa |
|---|---|---|
| Effective property tax rate | 0.49 % | 1.43 % |
| Median home value | $502,200 | $195,900 |
| Median annual property tax | $2,448 | $2,795 |
| Property tax on a $250,000 home | $1,219 | $3,567 |
| Property tax on a $500,000 home | $2,438 | $7,134 |
| Median household income | $92,470 | $73,147 |
All figures are taken from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which State Wins on Property Taxes?
- Winner (lower tax rate): Colorado
- Tax‑rate difference: 0.94 percentage points, which is a 65.83 % lower effective rate than Iowa’s (0.49 % vs. 1.43 %).
- Annual tax difference on a $250,000 home: $2,348 less in Colorado ($1,219 vs. $3,567).
- Annual tax difference on a $500,000 home: $4,696 less in Colorado ($2,438 vs. $7,134).
Why Colorado scores lower: The effective property tax rate in Colorado (0.49 %) is roughly one‑third of Iowa’s rate (1.43 %). Even though Colorado’s median home value is more than double Iowa’s, the lower rate translates into a smaller annual tax bill for typical home values.
For more detailed state‑specific information, see the dedicated pages on Colorado property tax and Iowa property tax.
Who Should Use This Comparison?
| Audience | Relevance |
|---|---|
| Current homeowners | Understanding how their property tax burden may change if they relocate between the two states. |
| Prospective homebuyers | Assessing the long‑term cost of homeownership, especially when comparing similar‑priced homes. |
| Retirees | Evaluating states where fixed‑income budgets might be less affected by property taxes. |
| Financial planners & real‑estate professionals | Incorporating accurate tax estimates into budgeting and advisory services. |
The data are presented without recommendation; they simply reflect the relative property tax environment as measured by the most recent ACS estimates.
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.