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Real Estate Property Tax Estimator

Estimate annual property taxes from assessed value and mill rate. Calculate monthly escrow, tax rate per $1,000, and compare across jurisdictions.

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Inputs that matter
Assessed Value, Mill Rate
Output to expect
Property Tax Estimator
  • Check the units and required inputs before comparing results.
  • Keep the assumptions with a copied result so you can reproduce the calculation later.
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Reference & details

How it works

Annual Property Tax

Tax rate may be expressed as percentage (1.2%) or mills (12 mills = 1.2%). Apply to assessed value after exemptions.

Tax = Assessed Value × Tax Rate

Mill Rate Conversion

One mill = $1 tax per $1,000 assessed value. 25 mills = 2.5% effective rate on assessment.

Tax Rate = Mills ÷ 1,000

Monthly Escrow

Lenders collect 1/12 of estimated annual tax in escrow monthly, adjusted at annual reconciliation.

Monthly = Annual Tax ÷ 12

Updated: July 2026

Example Scenarios

Annual tax = $4,025 ($335/mo escrow). Verify assessment equals purchase price or is reassessed on sale.

Taxable value $300k on $350k home with homestead. Exemption rules vary by state — not all apply to investors.

Same $400k value at 0.9% vs 2.1% rate = $3,600 vs $8,400 annual tax — location drives long-term cost.

FAQ

Assessment is jurisdiction's taxable value — often below market. Some states cap annual assessment increases. Reassessment may occur on purchase.

Millage rate: dollars of tax per $1,000 of assessed value. Divide mills by 1,000 to get decimal rate. Common in northeastern US.

Homestead applies to primary residence in most states. Investment properties and second homes typically pay full rate without exemption.

Yes — rates and assessments change annually. Budget 2–5% annual increase in long-term ownership cost projections.

SALT deduction capped at $10,000 federally (combined state/local tax). Consult tax advisor — calculator shows gross tax only.

About Real Estate Property Tax Estimator

Estimate annual property tax liability before buying a home or investment property. Enter assessed value (or purchase price where assessments track sales), local tax rate or millage, and exemptions to get annual and monthly tax amounts.