Calculate property taxes on a 140,000 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 $56,000. However, the house is worth much more, and you pay $140,000. In this scenario, your new taxable value could be $140,000, and if the tax rate is 2%, the new tax bill could be $2,800/year even though the previous owner paid just $1,120.
Previous Owner
New Owner
Taxable Value
$56,000
$140,000
Tax Rate
2%
2%
Property Taxes
$1,120
$2,800
Estimate Property Taxes on a 140,000 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
140,000
0.1%
$140
140,000
0.2%
$280
140,000
0.3%
$420
140,000
0.4%
$560
140,000
0.5%
$700
140,000
0.6%
$840
140,000
0.7%
$980
140,000
0.8%
$1,120
140,000
0.9%
$1,260
140,000
1%
$1,400
140,000
1.1%
$1,540
140,000
1.2%
$1,680
140,000
1.3%
$1,820
140,000
1.4%
$1,960
140,000
1.5%
$2,100
140,000
1.6%
$2,240
140,000
1.7%
$2,380
140,000
1.8%
$2,520
140,000
1.9%
$2,660
140,000
2%
$2,800
140,000
2.1%
$2,940
140,000
2.2%
$3,080
140,000
2.3%
$3,220
140,000
2.4%
$3,360
140,000
2.5%
$3,500
140,000
2.6%
$3,640
140,000
2.7%
$3,780
140,000
2.8%
$3,920
140,000
2.9%
$4,060
140,000
3%
$4,200
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
70,000
$2 per $1,000
$140
70,000
$4 per $1,000
$280
70,000
$6 per $1,000
$420
70,000
$8 per $1,000
$560
70,000
$10 per $1,000
$700
70,000
$12 per $1,000
$840
70,000
$14 per $1,000
$980
70,000
$16 per $1,000
$1,120
70,000
$18 per $1,000
$1,260
70,000
$20 per $1,000
$1,400
70,000
$22 per $1,000
$1,540
70,000
$24 per $1,000
$1,680
70,000
$26 per $1,000
$1,820
70,000
$28 per $1,000
$1,960
70,000
$30 per $1,000
$2,100
70,000
$32 per $1,000
$2,240
70,000
$34 per $1,000
$2,380
70,000
$36 per $1,000
$2,520
70,000
$38 per $1,000
$2,660
70,000
$40 per $1,000
$2,800
70,000
$42 per $1,000
$2,940
70,000
$44 per $1,000
$3,080
70,000
$46 per $1,000
$3,220
70,000
$48 per $1,000
$3,360
70,000
$50 per $1,000
$3,500
70,000
$52 per $1,000
$3,640
70,000
$54 per $1,000
$3,780
70,000
$56 per $1,000
$3,920
70,000
$58 per $1,000
$4,060
70,000
$60 per $1,000
$4,200
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 $70,000, a rate of 40 mills would have property taxes of $2,800.
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.