Madison, Tennessee Property Taxes
The median property tax rate in Madison, Tennessee is 0.95%, which is slightly below the national median of 0.99% but significantly higher than the Tennessee state median of 0.64%. With a median home value of $219,900 in Madison, the typical annual property tax bill amounts to $2,082, which is below the national median of $2,690. Property taxes in Madison are determined based on the assessed value, which is often lower than the market value due to various exemptions such as those for primary residences and agricultural properties. Understanding Madison'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 Madison or another part of Davidson County, gaining insight into the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Madison, Tennessee Property Tax Bill Calculator
$100,000
$2,500,000
$5,000,000
Average Tax Rate
0.64%
Estimate Property Tax Bill
$1,280
Ownwell’s Madison Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Madison with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Madison 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 Madison, Tennessee
Property taxes in Madison, Tennessee, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Madison is 0.95%, slightly below the U.S. national median of 0.99%. Local government entities within Madison set these rates annually, and they can vary significantly across different neighborhoods. Each year, Madison 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 Madison's effective property tax rate to other counties in Tennessee and the national median. For comparison, the 37115 zip code has both the highest and lowest median property tax rate of 0.95%. Understanding how these cities compare with Madison provides valuable insights into the varying tax landscape across Davidson County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Madison Tax Rate
0.95%
Average Davidson County Tax Rate
0.95%
Average Tennessee Tax Rate
0.64%
Average United States Tax Rate
0.99%
Property Tax Rates Across Madison, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 37115 | 0.95% | 0.95% | 0.95% | 0.95% | 0.95% |
Source: Ownwell
Property Tax Assessment Values Across Madison, Tennessee
In Madison, Tennessee, 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 Davidson County Assessor of Property 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. In Madison, 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 Madison helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The zip code with the highest median tax bill is 37115, standing at $2,082, while the lowest median tax bill is also in zip code 37115 at $2,082.
Average Madison Assessed Value
$219,900
Average Davidson County Assessed Value
$291,900
Average Tennessee Assessed Value
$173,500
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Madison, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 37115 | $127,500 | $171,300 | $219,900 | $271,000 | $337,100 |
Source: Ownwell
Property Tax Bills Across Madison, Tennessee
In Madison, located in Davidson County, TN, property tax bills are calculated based on the assessed value of a home and the local tax rate. Homeowners can expect their tax bill to be influenced by the median home price, which stands at $219,900. The assessed value is determined by a percentage of the market value, and then the local tax rate is applied to this assessed value to calculate the annual tax bill. Homeowners in Madison face a range of property tax bills. For instance, the 25th percentile tax bill is $1,622, while the 75th percentile reaches $2,566. At the higher end, the 90th percentile tax bill is $3,192. The median tax bill in the area is $2,082, which is in line with the highest and lowest median tax bills recorded in the zip code 37115. Compared to the national median property tax rate of 0.99%, Madison's property tax rates can significantly impact homeowners, making it crucial for them to understand how their tax bill is determined and budget accordingly.
Average Madison Tax Bill
$2,082
Average Davidson County Tax Bill
$2,764
Average Tennessee Tax Bill
$1,206
Average United States Tax Bill
$2,690
Property Tax Bills Across Madison, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 37115 | $1,207 | $1,622 | $2,082 | $2,566 | $3,192 |
Source: Ownwell