Calculate property taxes on a 135,000 home purchase.
About Property Taxes
Property taxes are assessed by local municipalities to pay for things such as local public schools, parks, and other municipal expenses. It can be confusing to estimate your new property taxes when buying a home.
When you buy a home, the property taxes are typically assessed based on the purchase price. You could end up paying significantly higher property taxes than the previous owner, especially if the previous owner has lived in the home for years and the taxable value is less than the purchase price.
For example, let's say that the previous owner has owned the house for 20 years and the taxable value is $54,000. However, the house is worth much more, and you pay $135,000. In this scenario, your new taxable value could be $135,000, and if the tax rate is 2%, the new tax bill could be $2,700/year even though the previous owner paid just $1,080.
Previous Owner
New Owner
Taxable Value
$54,000
$135,000
Tax Rate
2%
2%
Property Taxes
$1,080
$2,700
Estimate Property Taxes on a 135,000 Home Purchase
Use this calculator to determine the new tax bill on a home purchase. The results will update as you type. Your local government should have data about the tax rates and millage rates. You'll need to find out how the taxable value is calculated. Many times, the accessed and taxable values are 50% of the actual purchase price of the home.
$
%
Property Taxes
$
$
Property Taxes
Taxes Using 100% Value
Value
Tax Rate
Property Taxes
135,000
0.1%
$135
135,000
0.2%
$270
135,000
0.3%
$405
135,000
0.4%
$540
135,000
0.5%
$675
135,000
0.6%
$810
135,000
0.7%
$945
135,000
0.8%
$1,080
135,000
0.9%
$1,215
135,000
1%
$1,350
135,000
1.1%
$1,485
135,000
1.2%
$1,620
135,000
1.3%
$1,755
135,000
1.4%
$1,890
135,000
1.5%
$2,025
135,000
1.6%
$2,160
135,000
1.7%
$2,295
135,000
1.8%
$2,430
135,000
1.9%
$2,565
135,000
2%
$2,700
135,000
2.1%
$2,835
135,000
2.2%
$2,970
135,000
2.3%
$3,105
135,000
2.4%
$3,240
135,000
2.5%
$3,375
135,000
2.6%
$3,510
135,000
2.7%
$3,645
135,000
2.8%
$3,780
135,000
2.9%
$3,915
135,000
3%
$4,050
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
67,500
$2 per $1,000
$135
67,500
$4 per $1,000
$270
67,500
$6 per $1,000
$405
67,500
$8 per $1,000
$540
67,500
$10 per $1,000
$675
67,500
$12 per $1,000
$810
67,500
$14 per $1,000
$945
67,500
$16 per $1,000
$1,080
67,500
$18 per $1,000
$1,215
67,500
$20 per $1,000
$1,350
67,500
$22 per $1,000
$1,485
67,500
$24 per $1,000
$1,620
67,500
$26 per $1,000
$1,755
67,500
$28 per $1,000
$1,890
67,500
$30 per $1,000
$2,025
67,500
$32 per $1,000
$2,160
67,500
$34 per $1,000
$2,295
67,500
$36 per $1,000
$2,430
67,500
$38 per $1,000
$2,565
67,500
$40 per $1,000
$2,700
67,500
$42 per $1,000
$2,835
67,500
$44 per $1,000
$2,970
67,500
$46 per $1,000
$3,105
67,500
$48 per $1,000
$3,240
67,500
$50 per $1,000
$3,375
67,500
$52 per $1,000
$3,510
67,500
$54 per $1,000
$3,645
67,500
$56 per $1,000
$3,780
67,500
$58 per $1,000
$3,915
67,500
$60 per $1,000
$4,050
Understanding the Tax Bill
Many times, a property is accessed at 50% of the value of a property. The taxable value often has a cap on the amount that it can increase but this depends on the municipality. This is why long time home owners often have taxable values much less than assessed values.
The millage rate is a number used by local governments to assess taxes. It is expressed as a dollar amount for every $1,000 in taxable value. For example, 40 mills would equal $40 in property taxes for every $1,000 of taxable value. So for a home with a taxable value of $67,500, a rate of 40 mills would have property taxes of $2,700.
Assessed Value
Value that the assessor gives to the property. This is usually less than the actual value of the home.
Taxable Value
The value that is used to calculate property taxes.