Bay City, Michigan Property Taxes
The median property tax rate in Bay City, MI is 1.36%, considerably higher than both the national median of 0.99% and the Michigan state median of 1.07%. With the median home value in Bay City at $103,700, the typical annual property tax bill reaches $1,277, falling below the national median of $2,690. Property taxes in Bay City 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 Bay City'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 Bay City 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
Bay City, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
1.36%
Estimate Property Tax Bill
$1,410
Ownwell’s Bay City Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Bay City with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Bay City 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 Bay City, Michigan
Property taxes in Bay City, Michigan, play a crucial role in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Bay City is 1.36%, higher than both the Michigan state median and the U.S. national median of 0.99%. Local government entities within Bay City set these rates annually, and they can vary significantly across different neighborhoods. Each year, Bay City 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 Bay City's effective property tax rate to other areas in Bay County and the national median. For comparison, the 48708 ZIP code has the highest median property tax rate of 1.55%, while the 48706 ZIP code has the lowest median tax rate of 0.89%. Understanding how these areas compare with Bay City provides valuable insights into the varying tax landscape across Bay County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Bay City Tax Rate
1.36%
Average Bay County Tax Rate
1.00%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Bay City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48706 | 0.55% | 0.71% | 0.89% | 1.51% | 1.84% |
| 48708 | 0.81% | 1.36% | 1.55% | 1.80% | 2.24% |
Source: Ownwell
Property Tax Assessment Values Across Bay City, Michigan
In Bay City, Michigan, 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 Bay City, 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. For example, the zip code 48708 has the highest median tax bill at $1,308, while the zip code 48706 has the lowest at $1,254. 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 Bay City helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden.
Average Bay City Assessed Value
$103,700
Average Bay County Assessed Value
$117,300
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Bay City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48706 | $55,300 | $80,200 | $123,400 | $189,000 | $275,100 |
| 48708 | $51,400 | $64,400 | $84,800 | $117,200 | $183,200 |
Source: Ownwell
Property Tax Bills Across Bay City, Michigan
In Bay City, MI, property tax bills are calculated based on the assessed value of the property, which is determined by the local assessor's office. This assessed value is a percentage of the market value of the property. The tax rate is then applied to this assessed value to determine the annual tax bill. For instance, with a median home price of $103,700, homeowners can expect varying tax bills depending on their property's assessed value and specific tax rate. Several factors influence the final tax bill, including property size, location, and any applicable exemptions. For example, tax bills in Bay City range from the 25th percentile at $959 to the 90th percentile at $2,378. The highest median tax bill is $1,308 in zip code 48708, while the lowest is $1,254 in zip code 48706. These figures are compared to the national median property tax rate of 0.99%, showing how local rates and property values can significantly affect what homeowners pay annually.
Average Bay City Tax Bill
$1,277
Average Bay County Tax Bill
$1,271
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Bay City, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48706 | $691 | $924 | $1,254 | $1,722 | $2,362 |
| 48708 | $795 | $1,006 | $1,308 | $1,720 | $2,402 |
Source: Ownwell