During the fourth quarter of 2025, homeowners in Morgan Hill paid property taxes totaling 0.8% of their home’s value—amounting to less than 0.9 times the national average, according to BlockShopper.com.
Based on 86 properties sold in that period, the median sales price for a home in Morgan Hill was $1,207,000. The city’s median tax bill for 2025 was $9,228, which represents 0.8% of the median home value taxed.
The U.S. average effective property tax rate stood at 0.888% in 2024.
Within Santa Clara County, Gilroy recorded the highest rate among cities.
These calculations use estimated inflation and the county’s 2021 tax data to determine 2025 effective property tax rates. Actual rates may vary slightly from these estimates.
According to Redfin data, U.S. home prices increased in 2025, with the national median price hitting about $447,000 in June—a 1.13% rise compared to the prior year. The figures also indicate a persistent supply-demand gap, with 36% more sellers than buyers—a difference of 508,715 homes. A balanced market, as defined by Redfin, occurs when the count of sellers and buyers is within 10% of each other.
The table below compares Gilroy’s median effective property tax rate with those of other Santa Clara County cities, based on fourth-quarter 2025 sales and property tax figures.
| City | Q4 2025 Sales | Q4 2025 Median Price | Median tax 2025 | Effective tax rate |
|---|---|---|---|---|
| Gilroy | 85 | $950,000 | $8,281 | 0.9% |
| Lexington Hills | 4 | $1,014,000 | $8,124 | 0.8% |
| Burbank | 8 | $1,075,000 | $8,317 | 0.8% |
| Morgan Hill | 86 | $1,207,000 | $9,228 | 0.8% |
| Los Altos Hills | 24 | $5,095,000 | $35,273 | 0.7% |
| Milpitas | 85 | $1,280,000 | $8,613 | 0.7% |
| Alum Rock | 8 | $965,000 | $6,521 | 0.7% |
| East Foothills | 13 | $1,500,000 | $10,197 | 0.7% |
| San Jose | 1,343 | $1,400,000 | $9,139 | 0.7% |
| Mountain View | 134 | $1,705,000 | $11,275 | 0.7% |
| Fruitdale | 2 | $1,247,500 | $8,209 | 0.7% |
| Campbell | 69 | $1,680,000 | $10,338 | 0.6% |
| Los Gatos | 66 | $2,222,500 | $14,293 | 0.6% |
| Monte Sereno | 10 | $4,277,500 | $24,139 | 0.6% |
| San Martin | 7 | $1,500,000 | $8,998 | 0.6% |
| Loyola | 11 | $4,300,000 | $25,195 | 0.6% |
| Palo Alto | 138 | $3,200,000 | $15,267 | 0.5% |
| Sunnyvale | 173 | $1,830,000 | $9,601 | 0.5% |
| Saratoga | 62 | $4,137,500 | $19,271 | 0.5% |
| Cupertino | 73 | $2,850,000 | $13,570 | 0.5% |
| Cambrian Park | 4 | $2,300,000 | $9,799 | 0.4% |
| Los Altos | 56 | $4,562,500 | $19,687 | 0.4% |
| Santa Clara | 26 | $2,225,000 | $8,768 | 0.4% |
