Litchfield, Michigan Property Taxes
The median property tax rate in Litchfield, MI is 0.38%, significantly lower than both the national median of 0.99% and the Michigan state median of 1.07%. With the median home value in Litchfield at $124,200, the typical annual property tax bill is $495, well below the national median of $2,690. Property taxes in Litchfield are calculated based on the tax assessed value, which often falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Litchfield's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to substantial annual savings. Whether you're in the heart of Litchfield 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
Litchfield, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.38%
Estimate Property Tax Bill
$472
Ownwell’s Litchfield Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Litchfield with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Litchfield 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 Litchfield, Michigan
Property taxes in Litchfield, Michigan, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Litchfield is 1.70%, significantly higher than both the Michigan state median of 1.54% and the U.S. national median of 0.99%. Local government entities within Litchfield set these rates annually, and they can vary significantly across different neighborhoods. Each year, Litchfield 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 Litchfield's effective property tax rate to other counties in Michigan and the national median. For comparison, ZIP code 49227 has the highest median property tax rate of 1.70%, while ZIP code 49285 has the lowest median tax rate of 1.54%. Understanding how these cities compare with Litchfield provides valuable insights into the varying tax landscape across Hillsdale County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Litchfield Tax Rate
0.38%
Average Jackson County Tax Rate
0.86%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Litchfield, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49252 | 0.28% | 0.31% | 0.38% | 0.47% | 0.54% |
Source: Ownwell
Property Tax Assessment Values Across Litchfield, Michigan
In Litchfield, Michigan, 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 local 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 Litchfield, 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 Litchfield helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The median home price in Litchfield is $124,200, with tax bills ranging significantly. The 25th percentile tax bill is $213, while the 75th percentile reaches $931, and the 90th percentile is $1,245. The highest and lowest median tax bills are both $495, found in zip code 49252.
Average Litchfield Assessed Value
$124,200
Average Jackson County Assessed Value
$149,600
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Litchfield, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49252 | $29,200 | $62,800 | $124,200 | $236,200 | $284,080 |
Source: Ownwell
Property Tax Bills Across Litchfield, Michigan
In Litchfield, MI, property tax bills are calculated based on the assessed value of a home, which is typically a percentage of its market value. For instance, with a median home price of $124,200, the property tax rate is applied to determine the annual tax bill. The assessed value is influenced by factors such as property size, location, and improvements. Homeowners in Litchfield can expect varying tax bills, with the 25th percentile at $213 and the 75th percentile reaching up to $931. The 90th percentile tax bill can go as high as $1,245, reflecting higher-valued properties or those with significant improvements. These tax bills are essential for homeowners to consider, as they impact overall housing affordability and budgeting. Compared to the national median property tax rate of 0.99%, Litchfield's property tax landscape offers a range of financial obligations for residents, depending on their property's assessed value. Understanding these factors helps homeowners plan effectively for their annual property tax responsibilities.
Average Litchfield Tax Bill
$495
Average Jackson County Tax Bill
$1,283
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Litchfield, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49252 | $97 | $213 | $495 | $931 | $1,245 |
Source: Ownwell