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How Much You’re Really Paying in Property Taxes GOBankingRates 1/6/2021 © monkeybusinessimages / Getty Images/iStockphoto Realtor Showing Young Family Around Property For Sale. Local governments collect property taxes to pay for community needs like public safety, education, infrastructure, street maintenance and recreation. Typically, property taxes are based on home values and the tax rate varies among municipalities. There’s no such thing as states with no property taxes. So whether you’re a new homeowner or have been paying taxes on your home for years, you should know how to properly calculate your property taxes by state and ways you can pay those taxes. In addition, make sure that if you’re buying a home, you take every tax deduction you can.

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