Iowa City, Johnson County, Iowa Property Taxes

Name: Property Tax Bills Across Iowa City, Johnson County, Iowa
Creator: Ownwell
License: https://creativecommons.org/licenses/by-nc/4.0/

Median Iowa City, IA effective property tax rate: 1.81%, significantly higher than the national median of 1.02%, but lower than the Iowa state median of 1.54%.
Median Iowa City, IA home value: $214,740
Median annual Iowa City, IA tax bill: $3,838, $1,438 higher than the national median property tax bill of $2,400.

How are property taxes in Johnson County calculated?

Property taxes in Iowa City, IA are calculated based on the tax assessed value, which is often lower than the actual market value due to property tax exemptions such as the homestead or senior exemption.

Understanding Iowa City’s property tax system, exemptions, and reduction opportunities can lead to significant savings. Regardless of where you live in Iowa City, knowing local tax details benefits homeowners and investors.

Last Updated March 1, 2025

Iowa City, Johnson County, Iowa Property Tax Bill Calculator

Property Assessed Value

$100,000

$1,500,000

$3,000,000

Median Effective Tax Rate

1.81%

Estimate Property Tax Bill

$3,887

$3,607

Ownwell’s Iowa City Property Tax Bill Calculator empowers homeowners, real estate investors, and potential buyers to estimate their annual property taxes in Iowa City with just two data points. By entering your property's estimated assessed value, our calculator applies Iowa City’s median effective tax rate to accurately estimate your property tax bill. Note that your property's assessed value — determined by your county — reflects any exemptions you may have, ensuring a precise calculation for your property tax obligations. This insightful tool helps you understand potential tax liabilities and highlights how Ownwell can assist in reducing property taxes in Johnson County. Iowa City residents face a median property tax bill that is notably higher than the national median of $2400, with some areas reaching up to $4448. This underlines the importance of understanding local tax trends and seeking potential savings. For those interested in more localized information, please scroll down to explore city-level trends!

Property Tax Rates Across Iowa City, Johnson County, Iowa

Local government entities are responsible for setting property tax rates, which can vary significantly within a state. This variation is due to each county's annual budget estimation process. They determine the necessary funds to provide public services and then divide this amount by the total value of all taxable property within their jurisdiction, resulting in the property tax rate. While the process involves votes and legislative measures, this is the fundamental approach used each year.

In Iowa City, located in Johnson County, the effective property tax rate can be compared to other cities within Iowa and the national median. Iowa City's property tax rate is notably higher than the national median rate of 1.02%. The city's rate is also above the national median property tax bill of $2,400, reflecting the city's higher property values and budgetary needs. This comparison highlights how property tax rates in Iowa City align with broader state trends, showcasing the city's commitment to funding local services through property taxes.

Property Tax Rates Across Iowa City, Johnson County, Iowa

Source: Ownwell

1.10%

1.49%

1.88%

Our median effective property tax rate (tax bill ÷ assessor's market value) accounts for exemptions and deductions, making it more accurate than the general median tax rate, which is the midpoint of statutory rates before adjustments.

Median Effective Iowa City Tax Rate

1.81%

Median Effective Johnson County Tax Rate

1.71%

Median Effective Iowa Tax Rate

1.54%

Median Effective United States Tax Rate

1.02%

Property Tax Rates Across Iowa City, Johnson County, Iowa

Zip	10th Percentile	25th Percentile	Median Tax Rate	75th Percentile	90th Percentile
52240	1.17%	1.31%	1.79%	1.89%	1.99%
52245	1.73%	1.77%	1.81%	1.87%	1.95%
52246	1.53%	1.76%	1.88%	1.92%	2.03%
52242	N/A	N/A	N/A	N/A	N/A

Source: Ownwell

Property Tax Assessment Values Across Iowa City, Johnson County, Iowa

When examining property taxes in Iowa City, IA, understanding the distinction between "market value" and "assessed value" is crucial. The market value is what a willing buyer would pay to a willing seller in an open and competitive market, often influenced by location, property condition, and economic market trends. The Johnson County Assessor estimates the market value for tax purposes. The assessed value is the market value minus any applicable exemptions or limits determined by local laws and offerings. The tax assessed value is the figure used to calculate your property taxes or the amount multiplied by your tax rate to get your tax bill.

In Johnson County, assessment notices are sent in the spring each year. They’ll typically reach your mailbox by the middle of April. Each property owner receives an assessment notice that contains both the market value and assessed value, along with an estimate of your property tax bill. By providing insights into how assessed and market values are determined, this section helps property owners navigate their tax responsibilities and understand the valuation processes affecting their property taxes in Iowa City.

For example, the median home price in Iowa City is $214,740, with tax bills ranging significantly across the county. Zip code 52245 has the highest median home price at $240,880.

Property Tax Assessment Values Across Iowa City, Johnson County, Iowa

Source: Ownwell

$170,805

$254,753

$338,700

Median Iowa City Market Value

$214,740

Median Johnson County Market Value

$229,790

Median Iowa Market Value

$167,100

Median United States Market Value

$235,294

Property Tax Assessment Values Across Iowa City, Johnson County, Iowa

Zip	10th Percentile	25th Percentile	Median Home Price	75th Percentile	90th Percentile
52240	$75,930	$155,105	$222,070	$324,360	$507,700
52245	$111,608	$184,305	$240,880	$306,930	$402,797
52246	$87,950	$113,440	$170,805	$278,208	$408,570
52242	N/A	N/A	N/A	N/A	N/A

Source: Ownwell

Property Tax Bills Across Iowa City, Johnson County, Iowa

In Iowa City, located in Johnson County, property tax bills are determined by assessing the property's value and applying the local tax rate. The median home price in this area is $214,740. Homeowners can expect tax bills to range widely, with the 25th percentile at $2,646 and the 75th percentile reaching $5,244. The 90th percentile tax bill can climb as high as $6,985. Notably, the highest median tax bill in the area is $4,448 in zip code 52245, while the lowest is $3,290 in zip code 52246. These figures highlight the variability in tax bills, which can significantly impact homeowners' budgets. With the national median property tax rate at 1.02% and a median bill of $2,400, Iowa City's tax rates are relatively high. This is where Ownwell can be a valuable ally, offering expertise in property tax appeals and exemptions. By leveraging their services, homeowners can potentially reduce their tax burdens, ensuring they pay only what is fair and equitable.

Property Tax Bills Across Iowa City, Johnson County, Iowa

Source: Ownwell

$2,285

$3,645

$5,004

Median Iowa City Tax Bill

$3,838

Median Johnson County Tax Bill

$3,786

Median Iowa Tax Bill

$2,508

Median United States Tax Bill

$2,400

Property Tax Bills Across Iowa City, Johnson County, Iowa

Zip	10th Percentile	25th Percentile	Median Tax Bill	75th Percentile	90th Percentile
52240	$1,766	$2,828	$3,836	$5,234	$6,828
52245	$2,469	$3,488	$4,448	$5,580	$7,103
52246	$1,788	$2,234	$3,290	$4,852	$7,188
52242	N/A	N/A	N/A	N/A	N/A

Source: Ownwell