Sick of paying your property taxes? Homeowners in this Missouri town have dodged the headache for almost 40 years — here's how

Ballwin’s zero-tax secret sauce

While Ballwin doesn’t have municipal property taxes, locals know other fees make up for it. A mix of sales taxes, utility gross receipts taxes and recreational revenues fill in the gaps. However, Ballwin’s 8.74% total sales tax can be easily cut by shopping in nearby Wildwood, where it’s 8.24%.

Ballwin’s quality of life is a big draw. It scores an A+ on niche.com for its restaurants, coffee shops, schools and job opportunities. Its parks are also highly rated, but there is a catch.

For instance, A family platinum membership at The Pointe, Ballwin’s fitness center, costs $912 a year, which includes access to the aquatic center access and babysitting services.

Housing in Ballwin reflects its popularity. With a gonzo seller’s market, the median listing price is around $409,000. This is higher than other hot zip codes, like Highland, Indiana at $250,000, and Rochester, New York, where homes average a much more affordable 2.7 times higher than Rochester, N.Y.: a much more affordable $151,000.

Invest in real estate without the headache of being a landlord

Imagine owning a portfolio of thousands of well-managed single family rentals or a collection of cutting-edge industrial warehouses. You can now gain access to a $1B portfolio of income-producing real estate assets designed to deliver long-term growth from the comforts of your couch.

The best part? You don’t have to be a millionaire and can start investing in minutes.

Learn More

How property taxes compare elsewhere

So how does Ballwin’s zero property tax and sales tax stack up against other cities on realtor.com’s list?

• Gahanna, Ohio, with a typical home assessed at $200,000, puts the total for the 2022 tax year at $5,227, with the city’s portion just $147. Homes there typically stay on the market for just 11 days.
• In Salem, Massachusetts — famous for its witch trials — the median home price won’t exactly cast a spell on you. They’re $596,000, good for third place and ahead of Basking Ridge, N.J. at $967,000. In this town of 44,500, property taxes account for about half of Salem’s revenue with a rate of 14% per year. A $200,000 home would result in an annual tax bill of $28,000. Still, homes sell quickly, with a median market time of 16 days.
• In Rochester, New York, property taxes, including the school rate, total $11.105 per $1,000 of assessed value. A $200,000 home would incur $2,221 in taxes. Despite the lower home prices in this city of 211,000, properties typically sell within eight days, the fastest turnover on the list.

While property taxes play a crucial role in home affordability, they are just one factor, similar to comparing gas prices when buying a car. In some markets, lower taxes could be outweighed by higher home prices and the general cost of living.

That’s why it’s important to crunch all the numbers before house hunting — taxes, home prices and overall quality of life — without letting blind rage for the taxman cloud your vision of domestic bliss.