Germantown, Maryland Property Taxes
The median property tax rate in Germantown, MD is 1.07%, slightly higher than both the national median of 0.99% and the Maryland state median of 1.06%. With the median home value in Germantown at $323,600, the typical annual property tax bill reaches $3,760, surpassing the national median of $2,690. Property taxes in Germantown are calculated based on the tax assessed value, which often falls below the market value due to various exemptions like the primary residence and agricultural exemptions. Understanding Germantown'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 Germantown 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
Germantown, Maryland Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.07%
Estimate Property Tax Bill
$3,463
Ownwell’s Germantown Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Germantown with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Germantown 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 Germantown, Maryland
Property taxes in Germantown, Maryland, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Germantown is 1.07%, higher than both the Maryland state median and the U.S. national median of 0.99%. Local government entities within Germantown set these rates annually, and they can vary significantly across different neighborhoods. Each year, Germantown 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 Germantown's effective property tax rate to other areas in Montgomery County and the national median. For comparison, the 20876 zip code has the highest median property tax rate of 1.10%, while the 20874 zip code has the lowest median tax rate of 1.06%. Understanding how these areas compare with Germantown provides valuable insights into the varying tax landscape across Montgomery County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Germantown Tax Rate
1.07%
Average Montgomery County Tax Rate
1.11%
Average Maryland Tax Rate
1.06%
Average United States Tax Rate
0.99%
Property Tax Rates Across Germantown, Maryland
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 20874 | 0.78% | 0.99% | 1.06% | 1.25% | 1.42% |
| 20876 | 0.90% | 1.02% | 1.10% | 1.28% | 1.46% |
| 20878 | N/A | N/A | N/A | N/A | N/A |
Source: Ownwell
Property Tax Assessment Values Across Germantown, Maryland
In Germantown, Maryland, 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 Montgomery County assessment office 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 Germantown, 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. For instance, the highest median tax bill is $4,110 in the 20876 zip code, while the lowest median tax bill is $3,643 in the 20874 zip code. Being aware of these valuation processes helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Germantown Assessed Value
$323,600
Average Montgomery County Assessed Value
$471,000
Average Maryland Assessed Value
$317,700
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Germantown, Maryland
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 20874 | $205,000 | $255,000 | $317,650 | $424,000 | $588,800 |
| 20876 | $210,000 | $250,000 | $365,700 | $501,000 | $604,570 |
| 20878 | N/A | N/A | N/A | N/A | N/A |
Source: Ownwell
Property Tax Bills Across Germantown, Maryland
In Germantown, Montgomery County, MD, property tax bills are calculated based on the assessed value of a property, which is determined by local government assessors. The tax rate is applied to this assessed value, resulting in the annual tax bill. Factors such as property size, location, and market conditions influence the assessed value. Homeowners in Germantown experience varying tax bills depending on these factors. The median home price in Germantown is $323,600, with property tax bills ranging significantly. For example, the 25th percentile tax bill is $2,707, while the 75th percentile reaches $5,096, and the 90th percentile climbs to $6,747. The highest median tax bill in the area is $4,110 in the 20876 zip code, whereas the lowest is $3,643 in the 20874 zip code. Given the national median property tax rate of 0.99%, Germantown's tax rates can be relatively high, impacting homeowners by increasing their annual expenses and overall cost of homeownership.
Average Germantown Tax Bill
$3,760
Average Montgomery County Tax Bill
$5,416
Average Maryland Tax Bill
$3,419
Average United States Tax Bill
$2,690
Property Tax Bills Across Germantown, Maryland
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 20874 | $1,830 | $2,656 | $3,643 | $4,831 | $6,510 |
| 20876 | $2,021 | $2,879 | $4,110 | $5,681 | $7,002 |
| 20878 | N/A | N/A | N/A | N/A | N/A |
Source: Ownwell