Property Taxes in Hawaii
The median Hawaii property tax rate is 0.29%, significantly lower than the national median of 0.99%. With a median home value of $781,500, the median Hawaii property tax bill is $2,234 a year. Compared to the national median annual property tax bill, Hawaii's is much lower. Property taxes in Hawaii are calculated based on the tax assessed value, which typically falls below the actual market value due to property tax exemptions, such as the primary residence or agriculture exemption. Understanding your county's specific property tax system, exploring property tax exemptions, and recognizing opportunities for property tax reductions can lead to significant annual tax savings. Whether you're in Honolulu, Hilo, or any other Hawaiian locale, familiarizing yourself with the property taxes in your location can benefit homeowners and investors alike.
Last Updated June 14, 2024
Hawaii Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.29%
Estimate Property Tax Bill
$2,266
Ownwell’s Hawaii Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner to estimate their annual property taxes in Hawaii with just 2 data points. Enter your property's estimated assessed value, and our calculator applies the median tax rate in Hawaii to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’d like to see trends on a county or city level, scroll down to navigate to a more local informational page. Your property assessed value is the value assigned to your property by your county for property tax calculations. Assessed value takes into account any exemptions you may have on your property.
Property Tax Rates Across Hawaii
Property taxes in Hawaii fund essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Hawaii is 0.29% compared to the median tax rate in the United States of 0.99%. The tax rate is set by local government entities and can vary widely between different areas within Hawaii. Put simply, each county estimates its required budget to provide services for the upcoming year and then divides that by the total value of all taxable property within their jurisdiction. This calculation results in the property tax rate. While there are votes and laws involved in setting tax rates and budgets, in a nutshell, that is the process followed each year. Compare a Hawaii county’s effective property tax rate to other counties in Hawaii or the US median property tax rate below. Maui County has the highest property tax rate in Hawaii at 0.31%. Honolulu County has the lowest property tax rate in Hawaii at 0.28%.
Average Hawaii Tax Rate
0.29%
Average United States Tax Rate
0.99%
Property Tax Assessment Values Across Hawaii
When examining property taxes in Hawaii, understanding the distinction between "market value" and "assessed value" is crucial. The market value is what a willing buyer would pay to a willing seller in an open and competitive market, often influenced by factors such as location, property condition, and economic market trends. Market value is estimated by each Hawaii county assessor for tax purposes. The assessed value is then the market value minus any applicable exemptions or limits determined by local laws and offerings. The tax assessed value is the figure used to calculate your property taxes, or the amount multiplied by your tax rate to get your tax bill. Assessment notices in Hawaii are sent in the spring each year. They should reach your mailbox typically by the end of April. Each property owner receives an assessment notice that contains both the market value and assessed value along with an estimate of your property tax bill. By providing insights into how assessed values and market values are determined, this section helps property owners navigate their tax responsibilities and understand the valuation processes affecting their property taxes in Hawaii. Among the counties, Honolulu has the highest median tax bill at $2,420, while Hawaii County has the lowest at $1,619.
Average Hawaii Assessed Value
$781,500
Average United States Assessed Value
$244,900
Property Tax Bills Across Hawaii
Property tax bills in Hawaii are calculated based on the assessed value of the property. The local government determines this value, which typically aligns with the market value but can vary. Once the assessed value is established, it is multiplied by the property tax rate to determine the annual tax bill. Hawaii's property tax rates are relatively low compared to the national median property tax rate of 0.99%. Several factors influence the assessed value, including the property's location, size, and condition. Homeowners in Honolulu County pay the highest median tax bill in the state at $2,420, while those in Hawaii County pay the lowest at $1,619. The tax bill can vary significantly, with the 25th percentile at $1,154 and the 90th percentile reaching $5,798. Property taxes impact homeowners by contributing to their overall housing costs, affecting affordability. While Hawaii's rates are lower, the high median home price of $781,500 means that property tax bills can still be substantial.
Average Hawaii Tax Bill
$2,234
Average United States Tax Bill
$2,690