Guides / The cost of owning
Property taxes: how they work
Assessed value, tax rates, exemptions and due dates.
Property taxes are set locally, so the rules differ by state, county and city. The basics are similar: an assessed value multiplied by a local tax rate, minus any exemptions.
The parts
- Assessed value: what the local assessor says your home is worth for tax purposes
- Tax rate: set by the county, city, school district and other local bodies
- Exemptions: many states offer a homestead exemption for your main home, and some offer extra for seniors, veterans or people with disabilities
Do this
- Find your property record on the county assessor's website
- Check that the details (size, bedrooms, lot) are right
- Make sure you've applied for any exemptions you qualify for
- Note when bills are due, or check your escrow covers them
General information, not tax advice. Your county assessor and treasurer have the details for your home. Better Home Budget isn't paid by any lender, insurer or contractor.