New Jersey has the highest property taxes

Pink piggy bank with trail of coins to a house

Its residents pay more property tax per capita, or per individual, than in any other state.

New Jersey property owners pay a per-capita property tax of about $2,642, or 4.88% of the state's average income, according to the 2009 State Business Tax Climate Index issued by the Tax Foundation.

The Garden State also has the third-worst individual income tax and the tenth-worst sales tax, according to the Tax Foundation.

The Property Tax Index was determined using taxes levied on the wealth of individuals and businesses, including taxes on real and personal property, net worth and the transfer of assets.

To get the per-capita rate, the total amount of property taxes collected in each state was divided by the state's population.

Connecticut, with property taxes of $2,393 per capita, came in second on the list of highest per-capita property taxes.

New Hampshire, with taxes of $2,320; Wyoming, with $2,175, and New York, with $2,124, also ranked high on the list.

Property owners in Alabama and Arkansas pay the lowest rate per capita -- $477 and $527, respectively.

If you live in a city where home prices have fallen 10% or more in the past few years, your property tax may be too high.