Houston, Tennessee Property Taxes
The median property tax rate in Houston, TN is 0.63%, which is significantly lower than both the national median of 0.99% and the Tennessee state median of 0.64%. With a median home value of $25,200 in Houston, the typical annual property tax bill comes to $158, well below the national median of $2,690. Property taxes in Houston are calculated based on the tax assessed value, which is often less than the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Houston'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 Houston 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
Houston, 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 Houston Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Houston with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Houston 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 Houston, Tennessee
Property taxes in Houston, Tennessee, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Houston is 0.63%, which is lower than the U.S. national median of 0.99%. Local government entities within Houston set these rates annually, and they can vary significantly across different neighborhoods. Each year, Houston 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 Houston's effective property tax rate to other counties in Tennessee and the national median. For comparison, the 77098 zip code has the highest median property tax rate of 0.63%, while the same 77098 zip code also has the lowest median tax rate of 0.63%. Understanding how these cities compare with Houston provides valuable insights into the varying tax landscape across Polk County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Houston Tax Rate
0.63%
Average Polk County Tax Rate
0.63%
Average Tennessee Tax Rate
0.64%
Average United States Tax Rate
0.99%
Property Tax Rates Across Houston, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 77098 | 0.63% | 0.63% | 0.63% | 0.63% | 0.63% |
Source: Ownwell
Property Tax Assessment Values Across Houston, Tennessee
Understanding the difference between "market value" and "assessed value" is crucial for comprehending property taxes in Houston, Tennessee. 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 Houston, 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 Houston helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. Notably, the highest and lowest median tax bills in Houston are both $158, found in the 77098 zip code.
Average Houston Assessed Value
$25,200
Average Polk County Assessed Value
$48,850
Average Tennessee Assessed Value
$173,500
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Houston, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 77098 | $25,200 | $25,200 | $25,200 | $25,200 | $25,200 |
Source: Ownwell
Property Tax Bills Across Houston, Tennessee
In Houston, property tax bills are calculated based on the assessed value of the property and the applicable tax rate. The assessed value is determined by the county assessor and reflects the market value of the property. The tax rate, set by local taxing authorities, is applied to this assessed value to determine the annual tax bill. For example, in Polk County, homeowners face a median property tax rate that can significantly impact their finances. With a median home price of $25,200, the tax bill remains consistent across various percentiles, with the 25th, 75th, and 90th percentiles all at $158. This uniformity indicates a stable tax rate within the area. Compared to the national median property tax rate of 0.99%, Houston's property tax rate can either ease or strain a homeowner's budget depending on the assessed value and tax rate applied. Understanding these factors helps homeowners anticipate their annual tax obligations and plan their finances accordingly.
Average Houston Tax Bill
$158
Average Polk County Tax Bill
$310
Average Tennessee Tax Bill
$1,206
Average United States Tax Bill
$2,690
Property Tax Bills Across Houston, Tennessee
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 77098 | $158 | $158 | $158 | $158 | $158 |
Source: Ownwell