What does a $500K home cost in property taxes in California, New Jersey, and Florida?
On a $500,000 home, expect roughly $5,500 to $6,000 a year in California, $11,000 to $13,500 in New Jersey, and around $4,500 to $5,500 here in Brevard County on the Space Coast. The same purchase price, three very different annual bills.
I work with relocation buyers every week who fly into Melbourne or Orlando from California and New Jersey, and the property tax math is one of the first things they ask about. They have heard Florida is cheaper, but they want the actual numbers on a $500K home in Brevard County, not a generic state average.
So let's run it. Same $500,000 purchase, three states, three property tax bills, and what each one looks like for buyers landing on the Space Coast.
How property taxes are calculated in each state
Property taxes are based on assessed value times the local effective rate. Each state assesses and applies rates a little differently, and that is why three identical $500,000 homes generate three very different bills.
California
California is governed by Proposition 13, which caps the assessed value at the purchase price and limits annual increases to 2 percent. The base rate is 1 percent, plus voter-approved local levies that typically add 0.1 to 0.25 percent. Effective rates run about 0.71 to 0.75 percent statewide according to the Tax Foundation.
New Jersey
New Jersey has the highest effective property tax rate in the country at roughly 2.23 to 2.47 percent. New Jersey assesses at full market value, and there is no acquisition cap like California's. Bills go up with home values and local school budgets, both of which have been climbing in central and northern New Jersey.
Florida
Florida assesses at just market value, applies a $50,000 homestead exemption for primary residences, and caps annual assessment increases at 3 percent under the Save Our Homes amendment. Brevard County's effective rate runs about 0.84 to 0.95 percent before homestead, lower after. The Brevard County Property Appraiser shows the exact millage by city and parcel.
$500,000 home: side by side annual property tax
| State | Effective rate | Annual property tax on $500K | Notes |
|---|---|---|---|
| California | ~1.10% combined (Prop 13 + local) | $5,500 | Assessment locked at purchase, capped at 2% growth |
| New Jersey | ~2.23% to 2.47% | $11,150 to $12,350 | Full market value, no acquisition cap |
| Florida (Brevard County) | ~0.90% before homestead | $4,500 (further reduced with homestead) | Save Our Homes 3% cap once homesteaded |
That is a difference of $6,000 to $8,000 a year between New Jersey and Brevard County, on the exact same purchase price. Spread over a 30-year mortgage, that is six figures of property tax avoided.
What about state income tax?
This is where Florida pulls further ahead. Florida has no state income tax. California's top marginal rate is 13.3 percent. New Jersey's top rate is 10.75 percent. For two-income households moving to Brevard County and the Space Coast, the income tax savings often outpace the property tax savings.
The SmartAsset Florida tax calculator shows the take-home difference clearly. A household earning $200,000 saves about $13,000 to $20,000 a year in state income tax alone by moving from California or New Jersey to Florida.
The hidden cost on the Space Coast: insurance
I am not going to pretend Florida is cheaper across the board. Homeowners insurance in Brevard County costs more than in California or central New Jersey. Budget $2,500 to $5,500 a year for a non-coastal home, more if you are beachside in Cocoa Beach, Indialantic, or Satellite Beach.
Wind, flood (where applicable), and the age of the roof drive premiums. A newer roof on a Viera home will insure cheaper than a 22-year-old roof on a Merritt Island ranch. Florida insurance reform has stabilized the market in 2025 and 2026, but it is still the line item that surprises Northeast and California buyers most.
Total annual housing cost compared
| Cost | California | New Jersey | Florida (Brevard County) |
|---|---|---|---|
| Property tax (on $500K) | $5,500 | $11,500 | $4,500 |
| Homeowners insurance | $1,400 | $1,300 | $3,500 |
| State income tax (on $200K AGI) | ~$15,000 | ~$11,000 | $0 |
| Combined estimate | $21,900 | $23,800 | $8,000 |
Even with Florida's higher insurance, the total annual housing-and-tax cost on the Space Coast comes in roughly $13,000 to $16,000 lower than California or New Jersey on a $500,000 home. That is the math behind the relocation wave I see every month into Brevard County.
What this looks like in real Brevard County cities
Effective rates vary by city inside Brevard County. Titusville and Palm Bay tend to run on the lower end. Cocoa Beach, Indialantic, and Satellite Beach run a bit higher because of beachside levies. Melbourne, Viera, and Merritt Island fall in the middle. The Brevard County Property Appraiser site lets you pull the exact millage for any address.
Frequently asked questions
Does Florida really have no state income tax?
Yes. Florida is one of nine states with no state income tax on wages. There is also no estate tax and no inheritance tax. This is the single largest financial driver pulling buyers from California and New Jersey to the Space Coast.
What is the homestead exemption on a Brevard County home?
If the property is your primary residence, you can apply for a $50,000 homestead exemption that reduces the taxable value. Once homesteaded, the Save Our Homes cap limits annual assessment increases to 3 percent or the rate of inflation, whichever is lower. This protects long-term Florida homeowners from rising tax bills.
Is property tax higher beachside in Brevard County?
Effective rates beachside (Cocoa Beach, Indialantic, Satellite Beach, Indian Harbour Beach) run slightly higher than mainland Brevard because of additional municipal levies. Even at the top of the beachside range, the bill is still about half of what New Jersey owners pay.
Bottom line for relocation buyers
If you are running the numbers on a $500,000 move from California or New Jersey to the Space Coast, the property tax delta alone covers a meaningful chunk of higher Florida insurance. Add in zero state income tax and the math gets very loud. Brevard County is where the savings show up year one, not five years later.
If you want a clean breakdown for your specific income level and target purchase price on the Space Coast, send me a quick message. I will pull the millage for the cities you are considering and run real numbers, not estimates.
If you want this same comparison run on a $500K home for the Space Coast, see our property tax comparison on a 500K home.
My partner Nichole and I got your back. Reach out anytime at (321) 212-7676 or www.livingspacecoast.com.
Moving to the Space Coast?
Reading about Brevard is a good start. Talking to people who live and work here is better.
We are Rachel and Nichole, Brevard County REALTORS at Blue Marlin Real Estate. Rachel relocated to the Space Coast in 2022. Nichole is a Brevard County native. We work with relocation buyers every week and we know the towns, the budgets, the timelines, and what nobody tells you until after you have signed.
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