Salem, Washington County, Indiana Property Taxes
The median property tax rate in Salem, IN is 0.95%, slightly below both the national median of 0.99% and the Indiana state median of 0.99%. With the median home value in Salem at $114,700, the typical annual property tax bill reaches $1,148, which is lower than the national median of $2,690. Property taxes in Salem 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 Salem'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 Salem 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
Salem, Washington County, Indiana Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.95%
Estimate Property Tax Bill
$1,090
$1,011
Ownwell’s Salem Property Tax Bill Calculator enables homeowners, real estate investors, and potential buyers to estimate their annual property taxes in Salem with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Salem 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 Salem, Washington County, Indiana
Property taxes in Salem, Indiana, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Salem is 0.95%, which is slightly below the U.S. national median of 0.99%. Local government entities within Salem set these rates annually, and they can vary significantly across different neighborhoods. Each year, Salem 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 Salem's effective property tax rate to other areas in Indiana and the national median. For comparison, the 47167 zip code has the highest median property tax rate of 0.95%, while the same zip code also has the lowest median tax rate of 0.95%. Understanding how these areas compare with Salem provides valuable insights into the varying tax landscape across Washington County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Salem Tax Rate
0.95%
Average Washington County Tax Rate
0.95%
Average Indiana Tax Rate
0.99%
Average United States Tax Rate
0.99%
Property Tax Rates Across Salem, Washington County, Indiana
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 47167 | 0.52% | 0.80% | 0.95% | 1.55% | 1.91% |
Source: Ownwell
Property Tax Assessment Values Across Salem, Washington County, Indiana
In Salem, Indiana, 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 Salem, 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 Salem helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. Notably, the zip code 47167 has both the highest and lowest median tax bill at $1,148, reflecting a uniform tax scenario in the area.
Property Tax Assessment Values Across Salem, Washington County, Indiana
Source: Ownwell
$67,100
$115,200
$163,300
Average Salem Assessed Value
$114,700
Average Washington County Assessed Value
$111,000
Average Indiana Assessed Value
$170,700
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Salem, Washington County, Indiana
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 47167 | $50,060 | $77,600 | $114,700 | $169,500 | $242,180 |
Source: Ownwell
Property Tax Bills Across Salem, Washington County, Indiana
In Salem, property tax bills are calculated based on the assessed value of your home, which is determined by local assessors. This assessed value is then multiplied by the local tax rate to determine your annual tax bill. Homeowners in Salem face a median property tax rate that aligns with the national median of 0.99%. For a median home price of $114,700, this translates to a notable range in tax bills. Factors such as the property's location within Washington County, its market value, and any applicable exemptions play a significant role in determining the final amount. For instance, the tax bill at the 25th percentile is $684, while at the 75th percentile, it rises to $1,903. At the 90th percentile, homeowners might see tax bills as high as $2,949. These property taxes directly impact homeowners by influencing their annual financial obligations. Understanding the factors that contribute to these calculations can help homeowners better anticipate their tax responsibilities and plan accordingly.
Average Salem Tax Bill
$1,148
Average Washington County Tax Bill
$1,080
Average Indiana Tax Bill
$1,691
Average United States Tax Bill
$2,690
Property Tax Bills Across Salem, Washington County, Indiana
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 47167 | $359 | $684 | $1,148 | $1,903 | $2,949 |
Source: Ownwell