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If you’ve ever looked at your mortgage statement or reviewed your county tax bill, you’ve probably noticed the terms “real estate taxes” and “property taxes.” Many homeowners wonder if these are the same thing—or if they’re two separate expenses. Let’s break it down.
Real Estate Taxes = Property Taxes
In most cases, real estate taxes and property taxes refer to the exact same thing. They are the annual taxes you pay to your local government—usually your county, city, or municipality—based on the assessed value of your home and land.
These taxes help fund essential community services, such as:
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Public schools
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Police and fire departments
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Roads and infrastructure
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Parks and libraries
So when you hear “real estate tax” or “property tax,” you can think of them interchangeably.
Why the Two Different Terms?
The phrase “property tax” is more commonly used by homeowners. It clearly reflects what’s being taxed—your property.
On the other hand, “real estate tax” is often used in more formal or legal contexts, such as tax bills, government documents, or mortgage paperwork.
In short: different words, same bill.
Are There Other Types of Property Taxes?
Yes—this is where confusion can sometimes come in. While real estate taxes apply to real property (land and buildings), some areas also charge taxes on personal property such as vehicles, boats, or business equipment. Those are called personal property taxes, not real estate taxes.
The Bottom Line
For homeowners, real estate taxes and property taxes mean the same thing. They’re simply two terms for the local taxes you pay on your home and land. If you come across both terms, don’t worry—you’re not being charged twice.
