A recent study conducted by SmartAsset in 2023 revealed some surprising results about real estate taxes in Central Illinois. The study aimed to determine the highest real estate taxes in America and found that Illinois had the highest number of cities in the top 20.
The study compared real estate taxes paid by homeowners to the median home values in different cities. While places like California have real estate taxes that can exceed $10,000, the taxes paid in Illinois are significantly higher when compared to median home values.
Rockford, Illinois, ranked first in the study for homeowners paying an average of 3.04% of their home’s value in real estate taxes. This means that homeowners in Rockford pay an average of $3,283 in taxes for a home with a median value of $107,900. This percentage is higher than in any other city included in the study.
Other cities in Central Illinois, such as Springfield and Peoria, also appeared on the list. These cities ranked eighth and sixteenth, respectively, in terms of real estate taxes paid as a percentage of home value.
The presence of seven Illinois cities in the top 20 highlights the high burden of real estate taxes in the state. It is important to note that these taxes may vary depending on local tax rates and assessments.
The full list of cities and their corresponding median real estate taxes, median home values, and the percentage of home value paid in taxes can be found in the study. It is evident from the study that Central Illinois homeowners face a significant burden when it comes to real estate taxes.
Understanding the impact of real estate taxes is essential for homeowners, especially those looking to purchase a new property or invest in the real estate market. Being aware of the potential tax obligations in a particular area can help homeowners make informed decisions.
Additionally, this study raises important questions about the reasons behind high real estate taxes in Illinois and the potential implications for homeowners. It may prompt discussions about the fairness and sustainability of the current tax system and encourage lawmakers to consider possible reforms.
As homeowners in Central Illinois navigate the real estate market, they will need to account for the impact of real estate taxes on their financial planning and budgeting. By staying informed and consulting with professionals, homeowners can make educated decisions and be better prepared for the expenses associated with real estate taxes.
Overall, the SmartAsset study sheds light on the surprising disparity in real estate taxes across different regions of America. For Central Illinois homeowners, it serves as a reminder of the financial responsibilities and considerations involved in owning real estate.