Homewood, Alabama Property Taxes
The median property tax rate in Homewood, AL is 0.74%, which is significantly higher than both the national median of 0.99% and the Alabama state median of 0.47%. With the median home value in Homewood, the typical annual property tax bill reaches $4,078, surpassing the national median of $2,690. Property taxes in Homewood 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 Homewood'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 Homewood 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
Homewood, 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 Homewood Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Homewood with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Homewood 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 Homewood, Alabama
Property taxes in Homewood, Alabama, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Homewood is 0.74%, which is lower than the U.S. national median of 0.99%. Local government entities within Homewood set these rates annually, and they can vary significantly across different neighborhoods. Each year, Homewood 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 Homewood's effective property tax rate to other counties in Alabama and the national median. For comparison, the 35209 zip code has the highest median property tax rate of 0.74%, while the same zip code also has the lowest median tax rate of 0.74%. Understanding how these cities compare with Homewood provides valuable insights into the varying tax landscape across Jefferson County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Homewood Tax Rate
0.74%
Average Jefferson County Tax Rate
0.71%
Average Alabama Tax Rate
0.47%
Average United States Tax Rate
0.99%
Property Tax Rates Across Homewood, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35209 | 0.68% | 0.73% | 0.74% | 0.74% | 1.50% |
Source: Ownwell
Property Tax Assessment Values Across Homewood, Alabama
In Homewood, 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 Jefferson 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 Homewood, 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. The zip code with the highest median tax bill in Homewood is 35209, with a median tax bill of $4,078. Being aware of these valuation processes helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Homewood Assessed Value
$540,100
Average Jefferson County Assessed Value
$150,900
Average Alabama Assessed Value
$149,600
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Homewood, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35209 | $437,940 | $471,800 | $540,100 | $643,600 | $812,920 |
Source: Ownwell
Property Tax Bills Across Homewood, Alabama
Property tax bills in Homewood, located in Jefferson County, Alabama, are calculated based on the assessed value of the property and the local tax rate. The assessed value is typically a percentage of the property's market value, with various factors such as location, property condition, and market trends influencing this valuation. Homeowners in Homewood experience property tax bills that can vary significantly, with the 25th percentile tax bill at $3,459 and the 75th percentile reaching $5,783. The highest median tax bill recorded in the area is $4,078. These property taxes fund essential public services like schools, infrastructure, and emergency services, directly impacting the quality of life for residents. Compared to the national median property tax rate of 0.99%, Homewood's property tax rates reflect the local economic conditions and funding needs. Understanding how these taxes are calculated helps homeowners anticipate their annual financial obligations and plan accordingly.
Average Homewood Tax Bill
$4,078
Average Jefferson County Tax Bill
$1,159
Average Alabama Tax Bill
$717
Average United States Tax Bill
$2,690
Property Tax Bills Across Homewood, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35209 | $3,234 | $3,459 | $4,078 | $5,783 | $6,368 |
Source: Ownwell