Cumberland, Kentucky Property Taxes
The median property tax rate in Cumberland, KY is 1.35%, considerably higher than both the national median of 0.99% and the Kentucky state median of 1.02%. With the median home value in Cumberland being $32,000, the typical annual property tax bill reaches $402, which is significantly lower than the national median of $2,690. Property taxes in Cumberland are calculated based on the tax assessed value, which typically falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Cumberland'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 Cumberland 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
Cumberland, Kentucky Property Tax Bill Calculator
$100,000
$2,500,000
$5,000,000
Average Tax Rate
1.02%
Estimate Property Tax Bill
$2,040
Ownwell’s Cumberland Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Cumberland with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Cumberland 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 Cumberland, Kentucky
Property taxes in Cumberland, Kentucky, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Cumberland is 0.50%, significantly lower than both the Kentucky state median of 0.83% and the U.S. national median of 0.99%. Local government entities within Cumberland set these rates annually, and they can vary significantly across different neighborhoods. Each year, Cumberland 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 Cumberland's effective property tax rate to other counties in Kentucky and the national median. For comparison, the highest median property tax rate in Kentucky is found in 42461 with a rate of 1.10%, while the lowest median tax rate is in 40419 at 0.50%. Understanding how these cities compare with Cumberland provides valuable insights into the varying tax landscape across Harlan County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Cumberland Tax Rate
1.35%
Average Harlan County Tax Rate
1.35%
Average Kentucky Tax Rate
1.02%
Average United States Tax Rate
0.99%
Property Tax Rates Across Cumberland, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 40823 | 0.42% | 1.14% | 1.35% | 1.75% | 1.75% |
Source: Ownwell
Property Tax Assessment Values Across Cumberland, Kentucky
In Cumberland, Kentucky, 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 Harlan 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 Cumberland, 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 instance, the median home price in Cumberland is $32,000, with tax bills ranging from $202 at the 25th percentile to $1,046 at the 90th percentile. The highest and lowest median tax bills are both $402, found in the zip code 40823. 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 Cumberland helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Cumberland Assessed Value
$32,000
Average Harlan County Assessed Value
$35,000
Average Kentucky Assessed Value
$110,000
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Cumberland, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 40823 | $9,000 | $20,000 | $32,000 | $50,150 | $79,000 |
Source: Ownwell
Property Tax Bills Across Cumberland, Kentucky
In Cumberland, KY, property tax bills are calculated based on the assessed value of a home and the local tax rate. The assessed value is determined by the Harlan County Property Valuation Administrator, who evaluates the property's market value. This assessed value is then multiplied by the local tax rate to determine the annual property tax bill. Homeowners in Cumberland experience varying tax bills, with the 25th percentile at $202 and the 75th percentile at $659. For those at the 90th percentile, the tax bill can reach up to $1,046. The median home price in Cumberland is $32,000, which significantly impacts the overall tax bill. Compared to the national median property tax rate of 0.99%, Cumberland's tax rates offer a relatively affordable option for homeowners. However, the financial impact of property taxes can still be significant, especially for those with higher-valued properties. Understanding these factors is crucial for homeowners to manage their financial obligations effectively.
Average Cumberland Tax Bill
$402
Average Harlan County Tax Bill
$386
Average Kentucky Tax Bill
$1,031
Average United States Tax Bill
$2,690
Property Tax Bills Across Cumberland, Kentucky
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 40823 | $88 | $202 | $402 | $659 | $1,046 |
Source: Ownwell