The difference between Louisiana—the state with the lowest rate—and New Jersey’s with the highest rate is a whopping 1.71 percentage points. This figure might not sound like much at first glance, but again, it can come out to a pretty significant tax bill when it’s correlated to a home’s value, particularly on a luxury home.
For example, the median tax on a $1.5 million Louisiana home works out to $2,700 at 0.18%. It works out to $28,350 in New Jersey at a median rate of 1.89% on the same home value. That’s a very significant difference of $25,650.