Property Tax Calculator
Estimate your annual and monthly property tax bill using your home's market value, local assessment ratio, and either a mill rate or effective tax rate.
Most localities assess at 100% of market value. Some use 50–80%. Check your local assessor's website.
Calculation Method
1 mill = $1 of tax per $1,000 of assessed value. National average is roughly 10–15 mills.
Understanding Property Taxes
Property taxes are levied by local governments — counties, municipalities, and school districts — as the primary funding source for public schools, roads, and services. They are calculated based on your property's assessed value and the local tax rate.
Mill Rate vs. Effective Rate
Mill rate is the tax per $1,000 of assessed value. A mill rate of 15 means you pay $15 for every $1,000 of assessed value.
Formula: Annual Tax = Assessed Value × (Mill Rate ÷ 1,000)
Effective rate is the more intuitive format — it's the annual tax as a percentage of the home's market value.
Assessment Ratio
Many jurisdictions don't tax your full market value. An assessment ratio of 80% means your $300,000 home is assessed at $240,000, and taxes are calculated on that lower figure. The effective rate still applies to the full market value for comparison purposes.
Average Property Tax Rates by State
Property taxes vary enormously by location. States with no income tax (like Texas and New Hampshire) tend to have higher property taxes to compensate.
| State | Effective Rate |
|---|---|
| New Jersey | ~2.2% |
| Illinois | ~2.0% |
| Texas | ~1.8% |
| New York | ~1.7% |
| California | ~0.75% |
| Hawaii | ~0.30% |
| National Average | ~1.0% |
Frequently Asked Questions
How do I find my mill rate?
Contact your county assessor's office or search "[your county] mill rate" online. Many counties publish mill rates on their website.
Are property taxes included in my mortgage payment?
Often yes — your lender may collect 1/12 of your estimated annual tax each month into an escrow account and pay the bill on your behalf.
Can I appeal my assessment?
Yes. If you believe your assessed value is higher than market value, you can file an appeal with your local assessor's office. Successfully lowering your assessed value reduces your tax bill directly.
