10 states where servicers are grappling with property tax shocks

March 16, 2017 1:32 PM

Property tax notice with "Property tax hikes" text overlay

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Average property taxes are up nearly 6.5% nationwide, according to Lereta, a tax services and data provider in Covina, Calif. Higher tax bills can strain borrowers' ability to repay and affect underwriting, escrow services and portfolio management for lenders and servicers.

Here's a look at the top 10 states that saw the largest spikes in average tax bills in 2016, according to a Lereta analysis of national tax data.

Keeper of the Plains sunrise in Wichita, Kansas

Joe Montiel - Fotolia

No. 10 Kansas

Average property tax bill: $2,231
Year-over-year increase 7.8%

Arkansas

Refocus Photography/Refocus Photography - Fotolia

No. 9 Arkansas

Average property tax bill: $1,108
Year-over-year increase: 8%

logan - Fotolia

No. 8 Tennessee

Average property tax bill: $1,510
Year-over-year increase: 8.1%

Josemaria Toscano/Josemaria Toscano - Fotolia

No. 7: Utah

Average property tax bill: $2,468
Year-over-year increase: 9.1%

Liberty Bell old symbol of American freedom in Independence Mall building in Philadelphia Pennsylvania

Wasin Pummarin/f11photo - Fotolia

No. 6: Pennsylvania

Average property tax bill: $1,440
Year-over-year increase: 9.6%

The Monument to Joe Louis, known also as "The Fist",[1] is a memorial to the boxer at Detroit's Hart Plaza.

Nelson Cortez/helgidinson - Fotolia

No. 5: Michigan

Average property tax bill: $3,031
Year-over-year increase: 11.6%

Paul Hill - Fotolia

No. 4: Arizona

Average property tax bill:
$2,177 Year-over-year increase: 16.8%

iowa-women-of-achievement bridge-adobe.jpg

Iowa Women of Achievement Bridge over the Des Moines River at Principal River Walk in Des Moines, Iowa on July 15, 2016

Glenn Nagel/gnagel - Fotolia

No. 3: Iowa

Average property tax bill: $2,002
Year-over-year increase: 19.7%

The USS Constellation and buildings at the Inner Harbor in Baltimore, Maryland.

jonbilous - Fotolia

No. 2: Maryland

Average property tax bill: $2,542
Year-over-year increase: 20.4%

Thomas Jefferson's famous Monticello home in Virginia

nathanallen - Fotolia

No. 1: Virginia

Average property tax bill: $4,015
Year-over-year increase: 88.5%

Risk management

State regulators

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