Calculate property taxes on a 521,000 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 $208,400. However, the house is worth much more, and you pay $521,000. In this scenario, your new taxable value could be $521,000, and if the tax rate is 2%, the new tax bill could be $10,420/year even though the previous owner paid just $4,168.
Previous Owner
New Owner
Taxable Value
$208,400
$521,000
Tax Rate
2%
2%
Property Taxes
$4,168
$10,420
Estimate Property Taxes on a 521,000 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
521,000
0.1%
$521
521,000
0.2%
$1,042
521,000
0.3%
$1,563
521,000
0.4%
$2,084
521,000
0.5%
$2,605
521,000
0.6%
$3,126
521,000
0.7%
$3,647
521,000
0.8%
$4,168
521,000
0.9%
$4,689
521,000
1%
$5,210
521,000
1.1%
$5,731
521,000
1.2%
$6,252
521,000
1.3%
$6,773
521,000
1.4%
$7,294
521,000
1.5%
$7,815
521,000
1.6%
$8,336
521,000
1.7%
$8,857
521,000
1.8%
$9,378
521,000
1.9%
$9,899
521,000
2%
$10,420
521,000
2.1%
$10,941
521,000
2.2%
$11,462
521,000
2.3%
$11,983
521,000
2.4%
$12,504
521,000
2.5%
$13,025
521,000
2.6%
$13,546
521,000
2.7%
$14,067
521,000
2.8%
$14,588
521,000
2.9%
$15,109
521,000
3%
$15,630
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
260,500
$2 per $1,000
$521
260,500
$4 per $1,000
$1,042
260,500
$6 per $1,000
$1,563
260,500
$8 per $1,000
$2,084
260,500
$10 per $1,000
$2,605
260,500
$12 per $1,000
$3,126
260,500
$14 per $1,000
$3,647
260,500
$16 per $1,000
$4,168
260,500
$18 per $1,000
$4,689
260,500
$20 per $1,000
$5,210
260,500
$22 per $1,000
$5,731
260,500
$24 per $1,000
$6,252
260,500
$26 per $1,000
$6,773
260,500
$28 per $1,000
$7,294
260,500
$30 per $1,000
$7,815
260,500
$32 per $1,000
$8,336
260,500
$34 per $1,000
$8,857
260,500
$36 per $1,000
$9,378
260,500
$38 per $1,000
$9,899
260,500
$40 per $1,000
$10,420
260,500
$42 per $1,000
$10,941
260,500
$44 per $1,000
$11,462
260,500
$46 per $1,000
$11,983
260,500
$48 per $1,000
$12,504
260,500
$50 per $1,000
$13,025
260,500
$52 per $1,000
$13,546
260,500
$54 per $1,000
$14,067
260,500
$56 per $1,000
$14,588
260,500
$58 per $1,000
$15,109
260,500
$60 per $1,000
$15,630
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 $260,500, a rate of 40 mills would have property taxes of $10,420.
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.