CA vs TN Market Research

January 2026 - California vs Tennessee Property Taxes

This page presents fact-based comparisons of property taxes for individuals relocating from California to Tennessee. Data is drawn from publicly available sources and is intended for decision-making purposes.

Average Property Tax Rates

California and Tennessee have significantly different property tax rates. The average effective property tax rate in California is approximately 0.73%, while in Tennessee it is about 0.64%. These differences can result in substantial savings for homeowners relocating from California.

Home Price | California Taxes | Tennessee Taxes | Difference
$500,000 | $3,650 | $3,200 | $450
$800,000 | $5,840 | $5,120 | $720

Assessment Differences

California typically assesses property based on the purchase price with limited annual increases (Proposition 13). Tennessee assesses property based on market value, which is updated periodically. Rates may vary by county.

10-Year Tax Impact Example

These examples show potential property tax savings over 10 years for homes in California versus Tennessee. Actual amounts may vary by county and property.

Home Price | California Taxes | Tennessee Taxes | Difference
$500,000 | $36,500 | $32,000 | $4,500
$800,000 | $58,400 | $51,200 | $7,200

Who Benefits Most

Buyers relocating from high-tax California counties, homeowners purchasing new or resale homes in Davidson, Williamson, or surrounding counties, and families seeking predictable housing costs may benefit most from the differences in property taxes.

Disclaimer

The information on this page is for general informational purposes only. Property tax rates and assessments can vary by county, city, or property. CA2TN is not responsible for decisions made based on this information. Verify rates with local authorities or a licensed real estate professional

Sources:

January 2026 — Property Taxes
• California Tax Foundation
• Tennessee Department of Revenue
• Local county assessor websites