Spencer, Tennessee Property Taxes
The median property tax rate in Spencer, TN is 0.64%, which aligns with the Tennessee state median but is notably lower than the national median of 0.99%. With a median home value of $261,500 in Spencer, the typical annual property tax bill is $1,834, significantly below the national median of $2,690. Property taxes in Spencer are calculated based on the assessed value, which is often lower than the market value due to various exemptions such as primary residence and agricultural exemptions. Understanding Spencer'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 Spencer 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
Spencer, Tennessee Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.64%
Estimate Property Tax Bill
$1,674
Ownwell’s Spencer Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Spencer with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Spencer 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 Spencer, Tennessee
Property taxes in Spencer, Tennessee, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Spencer is 0.64%, which is lower than both the Tennessee state median and the U.S. national median of 0.99%. Local government entities within Spencer set these rates annually, and they can vary significantly across different neighborhoods. Each year, Spencer 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. Understanding how Spencer's effective property tax rate compares to other areas in Sequatchie County and the national median provides valuable insights into the varying tax landscape, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Spencer Tax Rate
0.64%
Average Sequatchie County Tax Rate
0.80%
Average Tennessee Tax Rate
0.64%
Average United States Tax Rate
0.99%
Property Tax Rates Across Spencer, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38585 | 0.55% | 0.62% | 0.64% | 0.66% | 0.70% |
Source: Ownwell
Property Tax Assessment Values Across Spencer, Tennessee
In Spencer, 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 Sequatchie County Appraisal District 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 Spencer, 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 Spencer helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The zip code with the highest and lowest median tax bill is 38585, with a median tax bill of $1,834.
Average Spencer Assessed Value
$261,500
Average Sequatchie County Assessed Value
$109,600
Average Tennessee Assessed Value
$173,500
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Spencer, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38585 | $160,500 | $239,850 | $261,500 | $300,650 | $911,720 |
Source: Ownwell
Property Tax Bills Across Spencer, Tennessee
In Spencer, TN, located in Sequatchie County, property tax bills are calculated based on the assessed value of a property, which is a percentage of its market value. The median home price in Spencer is $261,500. To determine the tax bill, local tax rates are applied to this assessed value. Homeowners in Spencer can expect their tax bills to vary significantly depending on their property's assessed value and the specific tax rate set by local authorities. For instance, the 25th percentile tax bill is around $1,727, while the 75th percentile tax bill reaches approximately $1,995. The tax bill can go as high as $5,461 for properties in the 90th percentile. Comparatively, the national median property tax rate is 0.99%, which provides a benchmark to understand how Spencer's rates align on a broader scale. These property tax bills directly impact homeowners by influencing their annual housing costs and overall financial planning.
Average Spencer Tax Bill
$1,834
Average Sequatchie County Tax Bill
$939
Average Tennessee Tax Bill
$1,206
Average United States Tax Bill
$2,690
Property Tax Bills Across Spencer, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 38585 | $1,578 | $1,727 | $1,834 | $1,995 | $5,461 |
Source: Ownwell