Property Tax Estimator
Estimate annual and monthly property taxes based on assessed value, tax rate, and homestead exemptions.
Results
Visualization
How It Works
Property taxes are annual taxes based on your property's assessed value and the local tax rate. They fund schools, roads, and local services. Rates vary widely — from 0.3% in Hawaii to over 2% in New Jersey.
The Formula
Variables
- Assessed Value — Value assigned by the county assessor (may differ from market value)
- Tax Rate — Local millage rate expressed as a percentage
- Exemption — Reduction in taxable value (homestead, senior, veteran, etc.)
Worked Example
Assessed at $300,000, 1.2% rate, no exemptions: $300,000 * 0.012 = $3,600/year or $300/month. With $50,000 homestead exemption: ($250,000) * 0.012 = $3,000/year.
Practical Tips
- Property taxes are deductible on investment properties as a business expense.
- Assessed value is NOT market value — it's typically 80-100% of market value depending on your county.
- Challenge your assessment if it seems too high — many homeowners win property tax appeals.
- Tax rates can change annually — check your county assessor's website for current rates.
- Investment properties don't qualify for homestead exemptions in most states.
Frequently Asked Questions
What is a typical property tax rate?
The U.S. average is about 1.1%. It ranges from 0.3% (Hawaii) to 2.2%+ (New Jersey, Illinois). Check your county.
How is assessed value determined?
County assessors evaluate properties periodically (every 1-5 years). They consider comparable sales, property condition, and location.
Can I deduct property taxes?
On investment properties, yes — as a business expense. On primary residences, up to $10,000 combined with state income tax (SALT cap).
What is a homestead exemption?
A tax break for primary residences that reduces the taxable value. Not available for investment properties. Amount varies by state ($10K-$100K+).
How often do property taxes change?
Rates are set annually by local governments. Assessed values are updated every 1-5 years or upon property sale in most jurisdictions.