Colorado vs Texas
Property‑Tax Comparison: Colorado vs. Texas
Intro
Both Colorado and Texas 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), Colorado’s effective property‑tax rate is considerably lower than Texas’s. The following sections present the key metrics side‑by‑side, identify which state has the lower rate, and note the groups for whom this information is most relevant.
Side‑by‑Side Comparison (2023 ACS)
| Metric | Colorado | Texas |
|---|---|---|
| Effective property‑tax rate | 0.49 % | 1.58 % |
| Median home value | $502,200 | $260,400 |
| Median annual property tax | $2,448 | $4,111 |
| Property tax on a $250,000 home | $1,219 | $3,947 |
| Property tax on a $500,000 home | $2,438 | $7,893 |
| Median household income | $92,470 | $76,292 |
Sources: Colorado property tax and Texas property tax; data from the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which State “Wins” on Property Tax?
Winner (lower tax rate): Colorado
- Rate difference: 1.58 % – 0.49 % = 1.09 percentage points, which is a 69.12 % lower effective rate in Colorado.
- Annual tax difference on a $250k home: $3,947 – $1,219 = $2,728.
- Annual tax difference on a $500k home: $7,893 – $2,438 = $5,455.
Based on the lower effective property‑tax rate, Colorado imposes a smaller yearly tax burden for comparable home values than Texas.
Who May Find This Comparison Most Useful?
| Audience | Relevance |
|---|---|
| Current homeowners | Understanding how their property‑tax liability could change if they relocate between the two states. |
| Prospective homebuyers | Evaluating long‑term cost of ownership, especially when comparing homes of similar value. |
| Retirees | Assessing affordability of fixed‑income living, where property‑tax levels directly affect disposable income. |
| Financial planners & real‑estate professionals | Providing clients with data‑driven insights for budgeting and relocation decisions. |
The data are purely descriptive; individual tax bills may vary due to local assessment practices, exemptions, and supplemental district taxes.
Sources
- U.S. Census Bureau, 2023 American Community Survey, 5‑year estimates – property‑tax rates, home values, and median household incomes.
- Internal reference pages: Colorado property tax and Texas property tax.
All figures are presented as reported in the ACS and are rounded to the nearest dollar where applicable.
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.