Property Tax Estimator
Estimate your annual and monthly property tax from your home's value, your area's effective tax rate, and any homestead exemption.
Last updated: October 2026
Your property
How property tax is figured
Property tax is refreshingly simple math wrapped in local complexity. Your county assessor assigns your home an assessed value, subtracts any exemptions you qualify for, and multiplies the result by the local effective tax rate, which blends the levies of your county, city, school district, and special districts. This calculator does exactly that computation.
Assessed value vs. market value
Your home's market value is what a buyer would pay today. Its assessed value is the number the tax office uses, and the two often disagree. Many jurisdictions assess at a fixed ratio of market value (for example 80% or even 10% in some states), and reassessments may happen only every two to five years, so assessed values lag hot markets and sticky-slow ones. If you know your assessed value from your county's website, enter that for the most accurate estimate. If you only know a Zillow-style estimate, the result is a ballpark: usually close enough for budgeting a move.
Effective rates vary wildly by state
The national median effective rate is about 1.1%, which is this calculator's default, but the spread is enormous. New Jersey, Illinois, and Connecticut run above 2%, while Hawaii, Alabama, and Colorado sit below 0.5%. The difference is not generosity: states that tax property lightly usually tax income or sales more heavily. Within a state, school district levies often make up half or more of the total, so two houses a mile apart can have meaningfully different bills. Always check your specific county and school district rather than trusting a state average.
Worked example
A home valued at $400,000 in an area with a 1.1% effective rate and a $25,000 homestead exemption: taxable assessed value = $400,000 minus $25,000 = $375,000. Annual tax = $375,000 x 0.011 = $4,125. Monthly = $4,125 / 12 = $343.75. The effective rate on the full $400,000 value is $4,125 / $400,000 = 1.03%: the exemption shaved about 0.07 points off the headline rate.
Ways to pay less (legally)
Claim every exemption. Homestead exemptions are the most common, but seniors, veterans, and people with disabilities often qualify for more, and they stack in many counties. You usually must file once with the county; it is not automatic. Appeal the assessment. If comparable homes recently sold for less than your assessed value implies, file an appeal during your county's window: assessors expect challenges and a win lowers your bill every year until reassessment. Watch the escrow. If your lender holds tax money in escrow, compare the monthly escrow line to this calculator's figure; servicers routinely over-collect, and you can request an escrow analysis.
Why tax bills rise even when rates do not
Most homeowners notice the bill climbing while the published rate never moves. Two mechanisms explain it. First, reassessments: when your county updates assessed values after a hot market, your taxable base jumps even at a flat rate. Some states cap annual assessment growth for homesteads, which protects longtime owners but shifts the burden to new buyers. Second, levy increases: school districts and cities vote higher budgets, and the rate quietly follows. If your bill spikes, check which of the two moved: an assessment spike is appealable with comparable sales, while a levy increase is a political decision you can only fight at the ballot box or the budget hearing.
Property Tax FAQs
How is property tax calculated?
Your local taxing authorities set a tax rate (often called a mill rate or levy), which is applied to your home's assessed value minus any exemptions you qualify for. This calculator uses a single effective rate for simplicity, which blends the county, city, and school district levies.
What is the difference between market value and assessed value?
Market value is what your home would sell for. Assessed value is what the tax assessor says it is worth, often a fraction of market value and updated only every few years. Enter your assessed value here if you know it; otherwise the market value gives a reasonable ballpark.
What is a homestead exemption?
A homestead exemption subtracts a fixed amount (or percentage) from your assessed value before tax is applied, lowering your bill. Most states offer one for a primary residence, and some add extra exemptions for seniors, veterans, or people with disabilities. File with your county to claim it.
Why do property taxes vary so much by state?
States fund local government differently. New Jersey and Illinois have effective rates above 2%, while Hawaii and Alabama sit below 0.5%, because some states lean on property tax while others lean on income or sales tax. School district funding is usually the biggest piece.
Can I appeal my property tax assessment?
Yes. If your assessed value is out of line with comparable recent sales, you can file an appeal with your county assessor, usually once a year during a set window. Successful appeals are common and the savings repeat every year until the next reassessment.
Is property tax deductible on my federal return?
Property tax is part of the state and local tax (SALT) deduction, which is capped at $10,000 per year and only helps if you itemize. With the 2026 standard deduction at $16,100 single / $32,200 joint, many homeowners still take the standard deduction.
Does property tax go into my mortgage payment?
Usually yes: most lenders collect one-twelfth of your annual tax bill with each mortgage payment and hold it in escrow, then pay the county on your behalf. That is why the calculator shows a monthly figure, so you can sanity-check the escrow line on your statement.