Calculate property taxes on a 533,000 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 $213,200. However, the house is worth much more, and you pay $533,000. In this scenario, your new taxable value could be $533,000, and if the tax rate is 2%, the new tax bill could be $10,660/year even though the previous owner paid just $4,264.
Previous Owner
New Owner
Taxable Value
$213,200
$533,000
Tax Rate
2%
2%
Property Taxes
$4,264
$10,660
Estimate Property Taxes on a 533,000 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
533,000
0.1%
$533
533,000
0.2%
$1,066
533,000
0.3%
$1,599
533,000
0.4%
$2,132
533,000
0.5%
$2,665
533,000
0.6%
$3,198
533,000
0.7%
$3,731
533,000
0.8%
$4,264
533,000
0.9%
$4,797
533,000
1%
$5,330
533,000
1.1%
$5,863
533,000
1.2%
$6,396
533,000
1.3%
$6,929
533,000
1.4%
$7,462
533,000
1.5%
$7,995
533,000
1.6%
$8,528
533,000
1.7%
$9,061
533,000
1.8%
$9,594
533,000
1.9%
$10,127
533,000
2%
$10,660
533,000
2.1%
$11,193
533,000
2.2%
$11,726
533,000
2.3%
$12,259
533,000
2.4%
$12,792
533,000
2.5%
$13,325
533,000
2.6%
$13,858
533,000
2.7%
$14,391
533,000
2.8%
$14,924
533,000
2.9%
$15,457
533,000
3%
$15,990
Taxes Using 50% Value and Mills
Taxable Value
Millage Rate (per $1,000)
Property Taxes
266,500
$2 per $1,000
$533
266,500
$4 per $1,000
$1,066
266,500
$6 per $1,000
$1,599
266,500
$8 per $1,000
$2,132
266,500
$10 per $1,000
$2,665
266,500
$12 per $1,000
$3,198
266,500
$14 per $1,000
$3,731
266,500
$16 per $1,000
$4,264
266,500
$18 per $1,000
$4,797
266,500
$20 per $1,000
$5,330
266,500
$22 per $1,000
$5,863
266,500
$24 per $1,000
$6,396
266,500
$26 per $1,000
$6,929
266,500
$28 per $1,000
$7,462
266,500
$30 per $1,000
$7,995
266,500
$32 per $1,000
$8,528
266,500
$34 per $1,000
$9,061
266,500
$36 per $1,000
$9,594
266,500
$38 per $1,000
$10,127
266,500
$40 per $1,000
$10,660
266,500
$42 per $1,000
$11,193
266,500
$44 per $1,000
$11,726
266,500
$46 per $1,000
$12,259
266,500
$48 per $1,000
$12,792
266,500
$50 per $1,000
$13,325
266,500
$52 per $1,000
$13,858
266,500
$54 per $1,000
$14,391
266,500
$56 per $1,000
$14,924
266,500
$58 per $1,000
$15,457
266,500
$60 per $1,000
$15,990
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 $266,500, a rate of 40 mills would have property taxes of $10,660.
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.