Colorado vs Mississippi
Property‑Tax Comparison: Colorado vs. Mississippi
Summary
Both Colorado and Mississippi levy property taxes based on the assessed value of real‑estate. According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Colorado has a lower effective property‑tax rate than Mississippi, while Mississippi’s median home values are considerably lower. The following sections present the data side‑by‑side, identify which state has the lower rate, and note the types of households for whom the comparison is most relevant.
Side‑by‑Side Metrics
| Metric | Colorado | Mississippi |
|---|---|---|
| Effective property‑tax rate | 0.49 % | 0.74 % |
| Median home value | $502,200 | $161,400 |
| Median annual property tax | $2,448 | $1,189 |
| Property tax on a $250,000 home | $1,219 | $1,842 |
| Property tax on a $500,000 home | $2,438 | $3,684 |
| Median household income | $92,470 | $54,915 |
Sources: According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which State Wins on Property‑Tax Rate?
- Winner (lower rate): Colorado – its effective property‑tax rate of 0.49 % is 0.25 percentage points lower than Mississippi’s 0.74 %.
- Rate difference: 0.25 % (a 33.83 % relative difference).
Because the rate is lower, Colorado imposes less tax per dollar of assessed value. The impact can be illustrated with two common home price points:
| Home value | Tax in Colorado | Tax in Mississippi | Annual difference |
|---|---|---|---|
| $250,000 | $1,219 | $1,842 | $623 |
| $500,000 | $2,438 | $3,684 | $1,246 |
Thus, for identical property values, a homeowner would pay approximately $623‑$1,246 less per year in Colorado than in Mississippi.
For a more detailed state‑specific overview, see the articles on Colorado property tax and Mississippi property tax.
Who Is This Comparison Most Relevant For?
| Audience | Why the data matters |
|---|---|
| Current or prospective homeowners | Property‑tax rates affect the ongoing cost of owning a home. Buyers comparing similar‑price homes in the two states can use the rate and dollar‑amount differences to estimate annual expenses. |
| Retirees | Fixed‑income retirees often prioritize lower recurring costs. Although Colorado’s median home price is higher, its lower tax rate reduces the proportion of income spent on taxes compared with Mississippi. |
| Real‑estate investors | Investors evaluate both purchase price and holding costs. The lower rate in Colorado may offset higher home values, while Mississippi offers lower entry prices but higher tax rates relative to value. |
| Policy analysts / researchers | The contrast illustrates how tax policy interacts with median income and home‑value levels across states. |
Key Takeaways
- Effective tax rate: Colorado (0.49 %) < Mississippi (0.74 %).
- Dollar impact: On a $250k home, Colorado’s tax is $623 lower; on a $500k home, it is $1,246 lower.
- Contextual factors: Colorado’s median home values and household incomes are substantially higher, which influences the overall tax burden relative to income.
- Applicability: The comparison is most useful for individuals assessing the ongoing cost of home ownership or investment, especially when the property value is known.
All figures are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates) and reflect the most recent publicly available data.
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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.