Colorado vs Pennsylvania
Colorado vs. Pennsylvania – Property‑Tax Comparison
Intro
According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates), Colorado and Pennsylvania differ markedly in the way property taxes are levied on homeowners. Colorado’s effective property‑tax rate is less than half of Pennsylvania’s, while median home values and household incomes also vary between the two states. The following comparison presents the key metrics side‑by‑side and identifies which state has the lower tax burden.
Side‑by‑side comparison
| Metric | Colorado | Pennsylvania |
|---|---|---|
| Effective property‑tax rate | 0.49 % | 1.35 % |
| Median home value | $502,200 | $240,500 |
| Median annual property tax | $2,448 | $3,241 |
| Property tax on a $250,000 home | $1,219 | $3,369 |
| Property tax on a $500,000 home | $2,438 | $6,738 |
| Median household income | $92,470 | $76,081 |
| Internal link | Colorado property tax | Pennsylvania property tax |
All figures are taken from the U.S. Census Bureau's 2023 ACS 5‑year estimates.
Which state “wins” on property tax?
- Winner (lower tax rate): Colorado – its effective property‑tax rate of 0.49 % is 0.86 percentage points lower than Pennsylvania’s 1.35 %.
- Rate difference: 0.86 % (a 63.82 % lower rate in Colorado).
- Annual tax difference on a $250k home: $3,369 – $1,219 = $2,150.
- Annual tax difference on a $500k home: $6,738 – $2,438 = $4,300.
Based on the lower effective tax rate and the resulting lower dollar amounts for comparable property values, Colorado imposes a lighter property‑tax burden than Pennsylvania.
Who is likely to benefit from this comparison?
| Audience | Relevance of Colorado’s lower tax rate | Relevance of Pennsylvania’s tax structure |
|---|---|---|
| Current homeowners | Lower annual payments on existing homes, especially for higher‑valued properties. | Higher payments may affect budgeting, particularly for owners of homes valued near the state median. |
| Prospective homebuyers | Potentially lower ongoing costs can increase purchasing power for a given budget. | Higher taxes may reduce net affordability, especially when median home values are lower. |
| Retirees | Lower taxes can help stretch fixed incomes, especially if the home is the primary residence. | Higher tax burden may be offset by Pennsylvania’s lower median home price, but the higher rate still results in larger annual payments. |
| Investors | Lower property‑tax rates improve cash‑flow projections for rental properties. | Higher rates increase operating expenses, which must be accounted for in investment analyses. |
The comparison is factual and does not imply that one state is universally better; rather, it highlights that, based on the most recent ACS estimates, Colorado’s property‑tax system is less costly on a percentage and dollar basis for comparable home values.
Reference
All data are drawn from the U.S. Census Bureau's 2023 American Community Survey (5‑year 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.