Property Tax Estimator
Estimate annual property tax based on home value and local tax rates. See how property taxes affect your SALT deduction.
Estimate Property Tax
$
Percent of value assessed (varies by
area)
Annual rate (US avg ~1%)
$
How It Works
Property Tax Formula
Assessed Value = Market Value × Assessment Ratio Taxable Value = Assessed Value - Exemptions Property Tax = Taxable Value × Tax Rate
Key Concepts
- Assessment Ratio: Many areas assess at less than 100% of market value
- Mill Rate: Some areas use mills (1 mill = $1 per $1,000 of value)
- Exemptions: Homestead, senior, veteran, disability exemptions reduce taxable value
SALT Deduction
Property taxes are deductible as part of the State and Local Tax (SALT) deduction, but the total SALT deduction is capped at $10,000 ($5,000 if MFS). This includes property taxes AND state/local income taxes.
Examples
Example: $400k Home, 1.2% Rate
Assessed at 100%: $400,000
Tax: $400,000 × 1.2% = $4,800/year (~$400/month)
Frequently Asked Questions
Where do I find my tax rate?
Check your property tax bill, county assessor website, or tax
collector office. Rates vary by county, city, and school district.
What is a homestead exemption?
A reduction in assessed value for your primary residence. Amounts
vary by state—some offer fixed amounts, others a percentage reduction.
Can I deduct all my property taxes?
Only if you itemize AND your total SALT (property + state
income/sales taxes) doesn't exceed $10,000. Many taxpayers now take the standard deduction
instead.
Why do rates vary so much?
Property taxes fund local services: schools, roads, police, fire.
Areas with more services or less other revenue (sales tax, income tax) often have higher
property taxes.
What if I disagree with my assessment?
You can appeal your property's assessed value with your local
assessor or board of review. Deadlines and procedures vary by jurisdiction.
Are property taxes included in my mortgage payment?
Usually yes, through an escrow account. Your lender collects monthly
and pays the annual tax bill on your behalf.