Calculate property taxes on a 138,000 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 $55,200. However, the house is worth much more, and you pay $138,000. In this scenario, your new taxable value could be $138,000, and if the tax rate is 2%, the new tax bill could be $2,760/year even though the previous owner paid just $1,104.
Previous Owner
New Owner
Taxable Value
$55,200
$138,000
Tax Rate
2%
2%
Property Taxes
$1,104
$2,760
Estimate Property Taxes on a 138,000 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
138,000
0.1%
$138
138,000
0.2%
$276
138,000
0.3%
$414
138,000
0.4%
$552
138,000
0.5%
$690
138,000
0.6%
$828
138,000
0.7%
$966
138,000
0.8%
$1,104
138,000
0.9%
$1,242
138,000
1%
$1,380
138,000
1.1%
$1,518
138,000
1.2%
$1,656
138,000
1.3%
$1,794
138,000
1.4%
$1,932
138,000
1.5%
$2,070
138,000
1.6%
$2,208
138,000
1.7%
$2,346
138,000
1.8%
$2,484
138,000
1.9%
$2,622
138,000
2%
$2,760
138,000
2.1%
$2,898
138,000
2.2%
$3,036
138,000
2.3%
$3,174
138,000
2.4%
$3,312
138,000
2.5%
$3,450
138,000
2.6%
$3,588
138,000
2.7%
$3,726
138,000
2.8%
$3,864
138,000
2.9%
$4,002
138,000
3%
$4,140
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
69,000
$2 per $1,000
$138
69,000
$4 per $1,000
$276
69,000
$6 per $1,000
$414
69,000
$8 per $1,000
$552
69,000
$10 per $1,000
$690
69,000
$12 per $1,000
$828
69,000
$14 per $1,000
$966
69,000
$16 per $1,000
$1,104
69,000
$18 per $1,000
$1,242
69,000
$20 per $1,000
$1,380
69,000
$22 per $1,000
$1,518
69,000
$24 per $1,000
$1,656
69,000
$26 per $1,000
$1,794
69,000
$28 per $1,000
$1,932
69,000
$30 per $1,000
$2,070
69,000
$32 per $1,000
$2,208
69,000
$34 per $1,000
$2,346
69,000
$36 per $1,000
$2,484
69,000
$38 per $1,000
$2,622
69,000
$40 per $1,000
$2,760
69,000
$42 per $1,000
$2,898
69,000
$44 per $1,000
$3,036
69,000
$46 per $1,000
$3,174
69,000
$48 per $1,000
$3,312
69,000
$50 per $1,000
$3,450
69,000
$52 per $1,000
$3,588
69,000
$54 per $1,000
$3,726
69,000
$56 per $1,000
$3,864
69,000
$58 per $1,000
$4,002
69,000
$60 per $1,000
$4,140
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 $69,000, a rate of 40 mills would have property taxes of $2,760.
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.