Peabody, Massachusetts Property Taxes
The median property tax rate in Peabody, MA is 0.95%, slightly below both the national median of 0.99% and the Massachusetts state median of 1.23%. With the median home value in Peabody at $523,450, the typical annual property tax bill reaches $4,985, significantly higher than the national median of $2,690. Property taxes in Peabody 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 Peabody'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 Peabody 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
Peabody, Massachusetts Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.95%
Estimate Property Tax Bill
$4,973
Ownwell’s Peabody Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Peabody with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Peabody 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 Peabody, Massachusetts
Property taxes in Peabody, Massachusetts, are crucial for funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Peabody is 0.95%, which is slightly below the U.S. national median of 0.99%. Local government entities within Peabody set these rates annually, and they can vary significantly across different neighborhoods. Each year, Peabody 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 Peabody's effective property tax rate to other areas in Essex County and the national median. For comparison, the 01960 zip code has both the highest and lowest median property tax rate of 0.95%. Understanding how these values compare with Peabody provides valuable insights into the varying tax landscape across Essex County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Peabody Tax Rate
0.95%
Average Essex County Tax Rate
1.12%
Average Massachusetts Tax Rate
1.23%
Average United States Tax Rate
0.99%
Property Tax Rates Across Peabody, Massachusetts
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 01960 | 0.95% | 0.95% | 0.95% | 0.95% | 0.95% |
Source: Ownwell
Property Tax Assessment Values Across Peabody, Massachusetts
In Peabody, Massachusetts, 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 Essex County Assessor 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 Peabody, 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 median property tax bill in Peabody is $4,985, which is above the national median property tax rate of 0.99%. Being aware of these valuation processes helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Property Tax Assessment Values Across Peabody, Massachusetts
Source: Ownwell
$258,000
$802,500
$1,347,000
Average Peabody Assessed Value
$523,450
Average Essex County Assessed Value
$545,500
Average Massachusetts Assessed Value
$492,600
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Peabody, Massachusetts
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 01960 | $375,500 | $449,500 | $523,450 | $601,800 | $692,800 |
Source: Ownwell
Property Tax Bills Across Peabody, Massachusetts
In Peabody, Essex County, MA, property tax bills are calculated based on the assessed value of a home, which is determined by local assessors. This assessed value reflects the market value of the property. The tax rate, known as the mill rate, is then applied to this assessed value to calculate the annual tax bill. For Peabody, the median home price is $523,450, and homeowners can expect a median tax bill around $4,985. Several factors influence the final tax bill, including property size, location, and any applicable exemptions. For instance, tax bills can range from the 25th percentile at $4,280 to the 75th percentile at $5,731, with the 90th percentile reaching as high as $6,596. These taxes fund essential local services such as schools, public safety, and infrastructure. Compared to the national median property tax rate of 0.99%, Peabody's rate is relatively high, impacting homeowners by increasing their annual financial obligations.
Average Peabody Tax Bill
$4,985
Average Essex County Tax Bill
$6,145
Average Massachusetts Tax Bill
$5,844
Average United States Tax Bill
$2,690
Property Tax Bills Across Peabody, Massachusetts
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 01960 | $3,575 | $4,280 | $4,985 | $5,731 | $6,596 |
Source: Ownwell