Birmingham, Alabama Property Taxes
The median property tax rate in Birmingham, AL is 0.43%, which is significantly lower than both the national median of 0.99% and the Alabama state median of 0.47%. With a median home value of $372,270 in Birmingham, the typical annual property tax bill amounts to $1,696, falling well below the national median of $2,690. Property taxes in Birmingham are calculated based on the tax assessed value, which is often lower than the market value due to various exemptions like primary residence and agricultural exemptions. Understanding Birmingham'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 Birmingham 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
Birmingham, Alabama Property Tax Bill Calculator
$100,000
$2,500,000
$5,000,000
Average Tax Rate
0.47%
Estimate Property Tax Bill
$940
Ownwell’s Birmingham Property Tax Bill Calculator is an essential tool for homeowners, real estate investors, or potential buyers looking to estimate their annual property taxes in Birmingham. By simply entering your property's estimated assessed value, the calculator uses the median tax rate in Birmingham to provide an accurate estimate of your property tax bill. This valuable tool helps you understand your potential tax liabilities with ease. For those interested in more granular insights, scroll down for localized information on neighborhood trends. Your property’s assessed value is determined by the county and includes any applicable exemptions, ensuring a precise calculation for your property tax obligations.
Property Tax Rates Across Birmingham, Alabama
Property taxes in Birmingham, Alabama, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Birmingham is 0.43%, significantly lower than both the Alabama state median and the U.S. national median of 0.99%. Local government entities within Birmingham set these rates annually, and they can vary significantly across different neighborhoods. Each year, Birmingham 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 Birmingham's effective property tax rate to other counties in Alabama and the national median. For comparison, the 35211 zip code has the highest median property tax rate of 1.08%, while the 35244 zip code has the lowest median tax rate of 0.43%. Understanding how these cities compare with Birmingham provides valuable insights into the varying tax landscape across Shelby County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Birmingham Tax Rate
0.43%
Average Shelby County Tax Rate
0.48%
Average Alabama Tax Rate
0.47%
Average United States Tax Rate
0.99%
Property Tax Rates Across Birmingham, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35210 | 0.52% | 0.52% | 0.52% | 0.52% | 0.52% |
| 35211 | 1.08% | 1.08% | 1.08% | 1.08% | 1.08% |
| 35216 | 0.39% | 0.43% | 0.48% | 0.54% | 0.57% |
| 35221 | 0.44% | 0.44% | 0.44% | 0.44% | 0.44% |
| 35235 | N/A | N/A | N/A | N/A | N/A |
| 35242 | 0.37% | 0.42% | 0.43% | 0.44% | 0.66% |
| 35243 | 0.34% | 0.42% | 0.43% | 0.51% | 0.78% |
| 35244 | 0.35% | 0.42% | 0.43% | 0.43% | 0.44% |
Source: Ownwell
Property Tax Assessment Values Across Birmingham, Alabama
In Birmingham, Alabama, 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 Shelby 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. 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. For example, Birmingham’s highest median tax bill is $1,798 in the 35216 zip code, while the lowest is $461 in the 35211 zip code. 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 helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Birmingham Assessed Value
$372,270
Average Shelby County Assessed Value
$249,060
Average Alabama Assessed Value
$149,600
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Birmingham, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35210 | $211,040 | $211,040 | $211,040 | $211,040 | $211,040 |
| 35211 | $42,620 | $42,620 | $42,620 | $42,620 | $42,620 |
| 35216 | $334,080 | $354,000 | $387,200 | $420,400 | $440,320 |
| 35221 | $273,600 | $273,600 | $273,600 | $273,600 | $273,600 |
| 35235 | N/A | N/A | N/A | N/A | N/A |
| 35242 | $235,580 | $287,650 | $379,100 | $494,225 | $646,340 |
| 35243 | $218,440 | $253,090 | $302,925 | $410,490 | $533,858 |
| 35244 | $246,048 | $282,362 | $325,540 | $378,050 | $476,803 |
Source: Ownwell
Property Tax Bills Across Birmingham, Alabama
In Birmingham, Shelby County, property tax bills are calculated based on the assessed value of a home, which is typically a percentage of the market value. The assessed value is determined by local tax authorities and can be influenced by factors such as the property's location, size, and condition. Homeowners in Birmingham can expect their property tax bills to vary significantly. For example, the 25th percentile tax bill is around $1,211, while the 75th percentile tax bill reaches approximately $2,320. At the higher end, the 90th percentile tax bill can be as much as $3,293. The highest median tax bill in Birmingham is found in the 35216 zip code, amounting to $1,798, whereas the lowest median tax bill is in the 35211 zip code at $461. These figures highlight the variability in property tax bills across different areas within the city. When compared to the national median property tax rate of 0.99%, Birmingham's rates may seem favorable, but homeowners should be aware of the potential for significant differences based on their specific location and property characteristics.
Average Birmingham Tax Bill
$1,696
Average Shelby County Tax Bill
$1,229
Average Alabama Tax Bill
$717
Average United States Tax Bill
$2,690
Property Tax Bills Across Birmingham, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35210 | $1,099 | $1,099 | $1,099 | $1,099 | $1,099 |
| 35211 | $461 | $461 | $461 | $461 | $461 |
| 35216 | $1,708 | $1,742 | $1,798 | $1,854 | $1,887 |
| 35221 | $1,204 | $1,204 | $1,204 | $1,204 | $1,204 |
| 35235 | N/A | N/A | N/A | N/A | N/A |
| 35242 | $751 | $1,220 | $1,737 | $2,367 | $3,361 |
| 35243 | $547 | $1,086 | $1,612 | $2,272 | $2,970 |
| 35244 | $745 | $1,146 | $1,363 | $1,648 | $2,199 |
Source: Ownwell