Montezuma, Iowa Property Taxes
The median property tax rate in Montezuma, IA is 1.05%, slightly higher than the national median of 0.99% but lower than the Iowa state median of 1.54%. With the median home value in Montezuma at $206,870, the typical annual property tax bill amounts to $2,308, which is below the national median of $2,690. Property taxes in Montezuma are calculated based on the tax assessed value, often lower than the market value due to exemptions like those for primary residences and agricultural properties. Understanding Montezuma's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to significant annual savings. Whether you're in the heart of Montezuma or another part of the city, understanding the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Montezuma, Iowa Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.05%
Estimate Property Tax Bill
$2,172
Ownwell’s Montezuma Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Montezuma with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Montezuma to estimate your property tax bill. This insightful tool helps you understand potential tax liabilities. If you’re interested in seeing trends on a neighborhood level, scroll down to find more localized information. Your property’s assessed value is the value assigned by the county for property tax calculations, accounting for any exemptions that may apply.
Property Tax Rates Across Montezuma, Iowa
Property taxes in Montezuma, Iowa, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Montezuma is 1.05%, which is notably higher than the U.S. national median of 0.99%. Local government entities within Montezuma set these rates annually, and they can vary significantly across different neighborhoods. Each year, Montezuma estimates its required budget to maintain services for the upcoming fiscal year, then divides this budget by the total value of all taxable property within the jurisdiction to calculate the property tax rate. While tax rates and budgets are influenced by laws and voter input, this calculation forms the basis of setting property tax rates. The data below compares Montezuma's effective property tax rate to other areas in Iowa and the national median. For comparison, the 50171 zip code has the highest median property tax rate of 1.05%, while the 50171 zip code also has the lowest median tax rate of 1.05%. Understanding how these cities compare with Montezuma provides valuable insights into the varying tax landscape across Mahaska County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Montezuma Tax Rate
1.05%
Average Mahaska County Tax Rate
1.54%
Average Iowa Tax Rate
1.54%
Average United States Tax Rate
0.99%
Property Tax Rates Across Montezuma, Iowa
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 50171 | 0.83% | 0.91% | 1.05% | 1.09% | 1.18% |
Source: Ownwell
Property Tax Assessment Values Across Montezuma, Iowa
In Montezuma, Iowa, understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes. The market value is the price a willing buyer would pay a willing seller in an open and competitive market, influenced by factors like location, property condition, and economic trends. This value is estimated by the Mahaska County Assessor for tax purposes. In contrast, the assessed value is the market value minus any applicable exemptions or limits based on local laws and available programs. The assessed value is then used to calculate your property taxes by multiplying it by the combined tax rates of all relevant taxing entities. Assessment notices are typically mailed out in the spring, usually by mid-April. These notices provide homeowners with both the market and assessed values, along with an estimate of the annual property tax bill. By understanding the distinction between these valuation concepts, property owners can better navigate their tax responsibilities and comprehend how their property taxes are determined. Being aware of these valuation processes in Montezuma helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The highest median tax bill in Montezuma is $2308 in the 50171 zip code, while the lowest is also $2308 in the same zip code.
Average Montezuma Assessed Value
$206,870
Average Mahaska County Assessed Value
$125,860
Average Iowa Assessed Value
$167,100
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Montezuma, Iowa
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 50171 | $123,324 | $186,940 | $206,870 | $287,260 | $343,101 |
Source: Ownwell
Property Tax Bills Across Montezuma, Iowa
In Montezuma, property tax bills are calculated based on the assessed value of the home, which is determined by the local assessor. The assessed value is a percentage of the market value of the property. Various factors such as property size, location, and improvements made to the home are considered in the assessment process. For instance, the median home price in Montezuma is $206,870, and homeowners can expect property tax bills to vary significantly. The tax rates applied to the assessed value are set by local taxing authorities and can include levies for schools, infrastructure, and other community services. In Montezuma, the tax bill at the 25th percentile is $1,701, while at the 75th percentile, it reaches $2,898, and the 90th percentile sees bills as high as $3,674. These tax bills can impact homeowners by influencing their monthly mortgage payments and overall affordability of owning a home. Comparing to the national median property tax rate of 0.99%, Montezuma's rates reflect the specific needs and budget allocations of the local community.
Average Montezuma Tax Bill
$2,308
Average Mahaska County Tax Bill
$1,886
Average Iowa Tax Bill
$2,508
Average United States Tax Bill
$2,690
Property Tax Bills Across Montezuma, Iowa
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 50171 | $1,293 | $1,701 | $2,308 | $2,898 | $3,674 |
Source: Ownwell