Calculate property taxes on a 526,000 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 $210,400. However, the house is worth much more, and you pay $526,000. In this scenario, your new taxable value could be $526,000, and if the tax rate is 2%, the new tax bill could be $10,520/year even though the previous owner paid just $4,208.
Previous Owner
New Owner
Taxable Value
$210,400
$526,000
Tax Rate
2%
2%
Property Taxes
$4,208
$10,520
Estimate Property Taxes on a 526,000 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
526,000
0.1%
$526
526,000
0.2%
$1,052
526,000
0.3%
$1,578
526,000
0.4%
$2,104
526,000
0.5%
$2,630
526,000
0.6%
$3,156
526,000
0.7%
$3,682
526,000
0.8%
$4,208
526,000
0.9%
$4,734
526,000
1%
$5,260
526,000
1.1%
$5,786
526,000
1.2%
$6,312
526,000
1.3%
$6,838
526,000
1.4%
$7,364
526,000
1.5%
$7,890
526,000
1.6%
$8,416
526,000
1.7%
$8,942
526,000
1.8%
$9,468
526,000
1.9%
$9,994
526,000
2%
$10,520
526,000
2.1%
$11,046
526,000
2.2%
$11,572
526,000
2.3%
$12,098
526,000
2.4%
$12,624
526,000
2.5%
$13,150
526,000
2.6%
$13,676
526,000
2.7%
$14,202
526,000
2.8%
$14,728
526,000
2.9%
$15,254
526,000
3%
$15,780
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
263,000
$2 per $1,000
$526
263,000
$4 per $1,000
$1,052
263,000
$6 per $1,000
$1,578
263,000
$8 per $1,000
$2,104
263,000
$10 per $1,000
$2,630
263,000
$12 per $1,000
$3,156
263,000
$14 per $1,000
$3,682
263,000
$16 per $1,000
$4,208
263,000
$18 per $1,000
$4,734
263,000
$20 per $1,000
$5,260
263,000
$22 per $1,000
$5,786
263,000
$24 per $1,000
$6,312
263,000
$26 per $1,000
$6,838
263,000
$28 per $1,000
$7,364
263,000
$30 per $1,000
$7,890
263,000
$32 per $1,000
$8,416
263,000
$34 per $1,000
$8,942
263,000
$36 per $1,000
$9,468
263,000
$38 per $1,000
$9,994
263,000
$40 per $1,000
$10,520
263,000
$42 per $1,000
$11,046
263,000
$44 per $1,000
$11,572
263,000
$46 per $1,000
$12,098
263,000
$48 per $1,000
$12,624
263,000
$50 per $1,000
$13,150
263,000
$52 per $1,000
$13,676
263,000
$54 per $1,000
$14,202
263,000
$56 per $1,000
$14,728
263,000
$58 per $1,000
$15,254
263,000
$60 per $1,000
$15,780
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 $263,000, a rate of 40 mills would have property taxes of $10,520.
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.