Illinois just ranked as having the highest property tax rate in the country. Property taxes in Illinois are an especially heavy burden without the tradeoff seen in states such as Texas or New Hampshire, where there are either no sales taxes or income taxes.
By Charlotte Rotkis | Illinois Policy Institute
After years of ranking No. 2 to New Jersey, the latest data shows Illinoisans paid the highest property taxes in the nation during 2023. Worst, Illinoisans also pay steep income and sales taxes.
Illinois homeowners paid an average effective property tax rate of 1.83%, the highest in the nation. On a median-priced home of $250,500, that amounts to $4,584 per year. Neighboring states had significantly lower rates, making the idea of finding a home outside of Illinois appealing.
Property taxes are based on the idea that the people paying benefit from the services the taxes go to fund. Yet nearly 3-in-5 Illinoisans feel as if the value of public services they receive is not worth their high property taxes.
Are Illinois property taxes a reason Indianapolis and St. Louis are in the top 10 housing markets?
The disparity between taxes and services received stems from pension spending crowding out other essential services. In addition to limiting funding for key services, pensions are the leading force for driving up property taxes. Growing pension payments redirects money away from property tax relief or better public services.
Read more here.
I don’t know about other communities in IL but I do know the Majority of the property taxes in School Dist U-46 go to Teachers and Gov’t pension funds, right about 3/4 of the tax bill. The other 25% is left for services, so this is why we have poor infrastructure, because they’re more worried about making sure they’re bank accounts are padded for their future and to hell with everyone else. Which is why we need to do away with unions in IL. There may have been a need for them once upon a time but they’ve become nothing more than a money hole for the residents of this state. Unions along with the current Democrat Gov’t that keeps driving IL into the poor house needs to go.