Chelsea, Alabama Property Taxes
The median property tax rate in Chelsea, AL is 0.43%, considerably lower than both the national median of 0.99% and the Alabama state median of 0.47%. With the median home value in Chelsea at $283,600, the typical annual property tax bill reaches $1,228, significantly below the national median of $2,690. Property taxes in Chelsea 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 Chelsea'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 Chelsea 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
Chelsea, Alabama Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.43%
Estimate Property Tax Bill
$1,219
$1,132
Ownwell’s Chelsea Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Chelsea with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Chelsea 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 Chelsea, Alabama
Property taxes in Chelsea, Alabama, are vital in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Chelsea is 0.43%, which is significantly lower than the U.S. national median of 0.99%. Local government entities within Chelsea set these rates annually, and they can vary significantly across different neighborhoods. Each year, Chelsea 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 Chelsea's effective property tax rate to other counties in Alabama and the national median. For comparison, the 35043 zip code has the highest median property tax rate of 0.43%, while the same zip code also has the lowest median tax rate of 0.43%. Understanding how these cities compare with Chelsea 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 Chelsea 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 Chelsea, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35043 | 0.30% | 0.42% | 0.43% | 0.43% | 0.58% |
Source: Ownwell
Property Tax Assessment Values Across Chelsea, Alabama
In Chelsea, 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. In Chelsea, 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 Chelsea helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The highest and lowest median tax bills in Chelsea both amount to $1,228, specifically in the 35043 zip code.
Average Chelsea Assessed Value
$283,600
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 Chelsea, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35043 | $181,840 | $234,800 | $283,600 | $352,200 | $459,200 |
Source: Ownwell
Property Tax Bills Across Chelsea, Alabama
In Chelsea, Shelby County, AL, property tax bills are calculated based on the assessed value of a home, which is determined by the local tax assessor's office. The assessed value is a percentage of the property's market value. For homeowners in Chelsea, the median home price is $283,600. Property tax rates are then applied to this assessed value to determine the annual tax bill. Several factors influence the final tax bill, including the property's location, size, and any applicable exemptions. For instance, the 25th percentile tax bill in Chelsea is $945, while the 75th percentile reaches up to $1,655, and the 90th percentile can be as high as $2,175. The highest median tax bill recorded in the area is $1,228 in the 35043 zip code. Comparatively, Chelsea's property tax rates are competitive when measured against the national median property tax rate of 0.99%. Homeowners in Chelsea benefit from relatively moderate property taxes, which can impact their overall housing costs and affordability.
Average Chelsea Tax Bill
$1,228
Average Shelby County Tax Bill
$1,229
Average Alabama Tax Bill
$717
Average United States Tax Bill
$2,690
Property Tax Bills Across Chelsea, Alabama
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 35043 | $343 | $945 | $1,228 | $1,655 | $2,175 |
Source: Ownwell