Hawaii vs Illinois
Property Tax Comparison: Hawaii vs. Illinois
Overview
Both Hawaii and Illinois 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), Hawaii’s effective property‑tax rate is substantially lower than Illinois’s, while median home values and household incomes also differ markedly between the two states.
Side‑by‑Side Metrics
| Metric | Hawaii | Illinois |
|---|---|---|
| Effective property‑tax rate | 0.27 % | 2.07 % |
| Median home value | $808,200 | $250,500 |
| Median annual property tax | $2,183 | $5,189 |
| Property tax on a $250,000 home | $675 | $5,179 |
| Property tax on a $500,000 home | $1,351 | $10,357 |
| Median household income | $98,317 | $81,702 |
All figures are from the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).
Who Wins on Property Taxes?
Winner (lower tax rate): Hawaii
Why:
- Hawaii’s effective property‑tax rate of 0.27 % is 1.80 percentage points lower than Illinois’s 2.07 %.
- This represents an 86.96 % relative reduction in the tax rate compared with Illinois.
- For a typical $250,000 home, the annual tax in Hawaii is $675, versus $5,179 in Illinois – a difference of $4,504.
- For a $500,000 home, the annual tax gap widens to $9,006 (Hawaii $1,351 vs. Illinois $10,357).
Based on the lower effective rate and resulting lower dollar amounts, Hawaii is the clear winner in this comparison.
Which Audiences Might Find This Comparison Most Relevant?
| Audience | Relevance of Findings |
|---|---|
| Current or prospective homeowners | The tax rate directly impacts the cost of owning a home. Homebuyers can use the rate and dollar‑amount differences to estimate ongoing expenses. |
| Retirees and fixed‑income households | Lower property taxes can reduce the overall cost of living, especially when combined with Hawaii’s higher median household income. |
| Real‑estate investors | Effective tax rates affect cash‑flow calculations and return‑on‑investment analyses for rental or resale properties. |
| Policy analysts and tax researchers | The stark contrast in rates provides a data point for examining state‑level fiscal policy and its impact on residents. |
The comparison is factual and does not endorse either state; it simply presents the tax burden as reported by the latest ACS data.
Sources
According to U.S. Census Bureau data, the figures above reflect the most recent ACS estimates (2023, 5‑year).
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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.