Hawaii vs Puerto Rico
Property‑Tax Comparison: Hawaii vs. Puerto Rico
Summary – Using the most recent data from the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates), this article compares the effective property‑tax rates, median home values, typical tax bills, and household incomes for Hawaii and Puerto Rico. The focus is on the property‑tax burden for typical homeowners.
Side‑by‑side Metrics
| Metric | Hawaii | Puerto Rico |
|---|---|---|
| Effective property‑tax rate* | 0.27 % | 0.50 % |
| Median home value | $808,200 | $124,600 |
| Median annual property tax | $2,183 | $627 |
| Property tax on a $250,000 home | $675 | $1,258 |
| Property tax on a $500,000 home | $1,351 | $2,516 |
| Median household income | $98,317 | $25,096 |
*Effective property‑tax rate = median annual tax ÷ median home value (expressed as a percentage).
Sources: According to the U.S. Census Bureau's 2023 American Community Survey (5‑year estimates).
Which jurisdiction has the lower tax burden?
- Winner (lower effective rate): Hawaii
- Rate difference: 0.23 percentage points (Hawaii 0.27 % vs. Puerto Rico 0.50 %). This represents a 46.3 % lower effective rate in Hawaii (0.23 % ÷ 0.50 % ≈ 0.463).
Tax‑bill impact on typical home values
| Home value | Annual tax (Hawaii) | Annual tax (Puerto Rico) | Difference (Puerto Rico – Hawaii) |
|---|---|---|---|
| $250,000 | $675 | $1,258 | $583 |
| $500,000 | $1,351 | $2,516 | $1,165 |
The calculations use the effective rates supplied above (e.g., $250,000 × 0.27 % = $675).
Why Hawaii “wins”: The lower effective property‑tax rate directly translates into smaller annual tax payments for the same home value. Even though Hawaii’s median home price is considerably higher, the tax amount remains lower than Puerto Rico’s for identical property values because the rate applied is less than half of Puerto Rico’s rate.
Who is likely to benefit from this comparison?
| Audience | Relevance of the data |
|---|---|
| Current or prospective homeowners | Understanding the tax burden for a given purchase price helps budget the total cost of ownership. |
| Retirees considering relocation | Property‑tax rates affect fixed‑income budgets; lower rates may make a jurisdiction more affordable, though other cost‑of‑living factors also matter. |
| Real‑estate investors | Effective tax rates influence cash‑flow projections, especially when comparing properties of similar price points across jurisdictions. |
| Policy analysts | The side‑by‑side metrics illustrate how tax policy interacts with median home values and household incomes. |
All groups should weigh the property‑tax figures alongside other variables such as housing prices, income levels, and local services.
References
All figures are drawn from the U.S. Census Bureau’s 2023 American Community Survey (5‑year estimates).
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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.