TaxTools

Property Tax Calculator

A quick estimate for budgeting — actual bills can include additional local levies and exemptions.

Assessed value

Local property tax rate

Annual property tax

$3,850

Monthly equivalent: $321

What you entered

Assessed value: $350,000Tax rate: 1.1%

1
Apply the tax rate to the assessed value
$350,000.00 × 1.1%= $3,850.00

Result

Annual property tax: $3,850

A property assessed at $350,000 at a 1.1% local rate owes $3,850 per year — about $321/month if you're budgeting it monthly.

Annual property tax by assessed value and local rate

Property tax is the assessed value multiplied by the local rate. Rates differ enormously between jurisdictions, so the columns span the range most US owners fall inside.

Assessed value	At 0.5%	At 1.0%	At 1.5%	At 2.0%	At 2.5%
$200,000	$1,000	$2,000	$3,000	$4,000	$5,000
$300,000	$1,500	$3,000	$4,500	$6,000	$7,500
$400,000	$2,000	$4,000	$6,000	$8,000	$10,000
$500,000	$2,500	$5,000	$7,500	$10,000	$12,500
$750,000	$3,750	$7,500	$11,250	$15,000	$18,750
$1,000,000	$5,000	$10,000	$15,000	$20,000	$25,000

Divide any figure by 12 for the monthly escrow amount - a $500,000 home at 1.5% is $7,500 a year, or $625 a month on top of principal and interest. The rate gap matters more than most buyers expect: the same $500,000 home costs $2,500 a year in a 0.5% jurisdiction and $12,500 in a 2.5% one, a $10,000 annual difference that dwarfs most mortgage rate shopping. Assessed value is often not market value - many jurisdictions assess at a fixed fraction of it, apply a homestead exemption, or cap annual increases. Use the assessed value from your own tax notice, and check your county's current rate rather than a state average.

Assessed value isn't market value

Many jurisdictions assess property below full market value, or cap annual increases regardless of market swings — check your local assessor's methodology rather than assuming assessed value equals what you'd sell for.

Rates vary enormously by location

Effective property tax rates range from well under 0.5% in some states to over 2% in others — the same home can owe wildly different amounts depending purely on where it's located.

Exemptions that lower your bill

Most states offer homestead exemptions ($25,000–$75,000 off assessed value for primary residences), senior exemptions, veteran exemptions, and disability exemptions. Some states also freeze assessments for seniors over 65. These can save hundreds to thousands per year — check your county assessor's website.

Frequently asked questions

How is property tax calculated?

Property Tax = Assessed Value × Tax Rate. If your home's assessed value is $300,000 and the local rate is 1.2%, your annual tax is $3,600 ($300 per month). Some areas express the rate as mills: 1 mill = $1 per $1,000 of assessed value, so 12 mills = 1.2%.

What is the average property tax rate in the US?

The national average effective rate is about 1.1% of market value, but this varies wildly: New Jersey averages 2.23%, Hawaii 0.32%, Texas 1.68%, and California 0.71%. Within states, rates also differ between counties and cities.

Can I deduct property taxes on my federal return?

Yes, but with limits since the 2017 TCJA. The SALT (State and Local Tax) deduction caps at $10,000 for property taxes plus state/local income or sales taxes combined. If your property tax alone exceeds $10,000, you only deduct $10,000 total. This cap is set through 2025.