If your properties generate income, you must file state taxes in the states where they are located. This applies when your properties earn income, even if it's just on paper.

However, some states, including Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming, do not impose state income taxes. In these states, you are exempt from filing state income tax related to your properties.

If your rental income from properties in a state other than your residence doesn't exceed $1,000 USD for the tax year, many Certified Public Accountants (CPAs) often advise against filing taxes in those other states.

It's crucial to emphasize that individual circumstances vary, so it's advisable to consult with your personal accountant and base your decisions on your own risk tolerance.