About the Property Tax Calculator
This property tax calculator estimates the yearly and monthly tax on a home or other real estate. It follows the same steps your county uses: start with market value, apply the assessment ratio to get assessed value, subtract exemptions such as a homestead exemption, then multiply by the local tax rate — entered either as a percentage or as a mill rate (dollars per $1,000 of assessed value).
Use it when comparing homes in different towns, budgeting the escrow part of a mortgage payment, or checking whether a new assessment notice is in line. The monthly figure is what a lender would typically add to your mortgage payment for escrow, and the 10-year projection shows how the bill could grow if assessments rise each year.
Property tax rules vary widely: some states assess at full market value, others at a fraction; some cap yearly assessment increases. Your county assessor or treasurer website lists the exact rate and exemptions for your parcel. The result is an estimate, not a tax bill.
With the default inputs, the annual property tax is $3,850.00. Change any value above to recalculate instantly.
How to use the property tax calculator
- 1Enter the home’s market value (or the assessor’s market value on your notice).
- 2Set the assessment ratio used in your state — 100% if unsure.
- 3Enter any exemptions you qualify for, such as a homestead exemption.
- 4Choose whether your rate is a percentage or a mill rate, then enter it.
- 5Read the annual and monthly tax and the 10-year projection.
Formula and method
The assessed value is the market value multiplied by your jurisdiction’s assessment ratio. Exemptions such as a homestead exemption are subtracted to get the taxable value, which cannot fall below zero. The tax is taxable value times the rate: divide a percentage rate by 100, or a mill rate by 1,000.
The effective rate expresses the bill as a percentage of market value, which makes places with different assessment ratios comparable. The 10-year total assumes the tax grows by the chosen yearly percentage, compounding each year, with no change in rate or exemptions.
- Assessment ratio
- Percent of market value that is taxed
- Mill
- $1 of tax per $1,000 of taxable value (0.1%)
Worked examples
$350k home at a 1.1% rate
With full assessment and no exemptions, 1.1% of $350,000 is $3,850 a year, or $320.83 a month in escrow. If the bill grows 2% a year, the next 10 years total about $42,156.
40% assessment ratio with a 60-mill levy
A $300,000 home assessed at 40% has an assessed value of $120,000. After a $25,000 exemption, $95,000 is taxed at 60 mills ($60 per $1,000), giving $5,700 a year — an effective rate of 1.9% of market value.
$500k home, 0.85% rate, $50k homestead exemption
Subtracting the $50,000 exemption leaves $450,000 taxable. At 0.85% the bill is $3,825 a year. With 3% yearly growth, you would pay about $43,849 over 10 years.
Frequently asked questions
How is property tax calculated?+
Property tax equals the taxable value of the property multiplied by the combined local tax rate. Taxable value is usually market value times an assessment ratio, minus any exemptions you qualify for.
What is a mill rate?+
A mill is one-tenth of a cent, so a mill rate is the tax in dollars per $1,000 of taxable value. A 25-mill rate equals 2.5%: a $200,000 taxable value pays $5,000.
What is a homestead exemption?+
Many states reduce the taxable value of a primary residence by a fixed amount or percentage, and some cap how fast its assessment can rise. You usually must apply once with the county assessor.
Why is my property tax different from my neighbor’s?+
Differences in assessed value, exemptions (homestead, senior, veteran, disability), special district levies and when each home was last reassessed can all create different bills on similar houses.
Is property tax included in my mortgage payment?+
If your lender uses an escrow account, it collects one-twelfth of the estimated annual tax with each payment and pays the bill for you. The escrow amount is recalculated yearly when the tax changes.
Can I deduct property taxes on my federal return?+
Only if you itemize. State and local taxes, including property tax on your home, share one SALT cap: $40,400 for 2026 ($20,200 if married filing separately), reduced for incomes above $505,000 but never below $10,000. The SALT deduction calculator shows how the cap applies to you.
Tax results are estimates based on published rules and simplified assumptions. They are not tax advice — check official guidance or a tax professional for your situation.