Traverse City, Benzie County, Michigan Property Taxes
The median property tax rate in Traverse City, MI is 0.30%, significantly lower than both the national median of 0.99% and the Michigan state median of 1.07%. With a median home value of $271,500 in Traverse City, the typical annual property tax bill is around $802, which is well below the national median of $2,690. Property taxes in Traverse City are calculated based on the tax assessed value, which often falls below the market value thanks to various exemptions like the primary residence and agricultural exemptions. Understanding Traverse City's property tax system, exploring available exemptions, and identifying opportunities for reductions can lead to substantial annual savings. Whether you're in the heart of Traverse 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
Traverse City, Benzie County, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.3%
Estimate Property Tax Bill
$815
$756
Ownwell’s Traverse City Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Traverse City with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Traverse 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 Traverse City, Benzie County, Michigan
Property taxes in Traverse 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 Traverse City is 1.60%, significantly higher than both the Michigan state median of 1.54% and the U.S. national median of 0.99%. Local government entities within Traverse City set these rates annually, and they can vary significantly across different neighborhoods. Each year, Traverse 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 Traverse City's effective property tax rate to other counties in Michigan and the national median. For comparison, the highest median property tax rate in Michigan is found in Washtenaw County at 2.09%, while the lowest median tax rate is in Benzie County at 0.30%. Understanding how these cities compare with Traverse City provides valuable insights into the varying tax landscape across Grand Traverse County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Traverse City Tax Rate
0.30%
Average Benzie County Tax Rate
0.34%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Traverse City, Benzie County, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | 0.21% | 0.26% | 0.30% | 0.36% | 0.40% |
Source: Ownwell
Property Tax Assessment Values Across Traverse City, Benzie County, Michigan
In Traverse 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 Traverse 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. 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 Traverse City helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. Notably, the zip code 49684 has the highest and lowest median tax bill, both at $802.
Property Tax Assessment Values Across Traverse City, Benzie County, Michigan
Source: Ownwell
$129,000
$286,500
$444,000
Average Traverse City Assessed Value
$271,500
Average Benzie County Assessed Value
$250,400
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Traverse City, Benzie County, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | $138,900 | $208,050 | $271,500 | $328,000 | $423,700 |
Source: Ownwell
Property Tax Bills Across Traverse City, Benzie County, Michigan
In Traverse City, located in Benzie County, MI, property tax bills are calculated based on the assessed value of a property, which is determined by local assessors. These values are typically a percentage of the market value of the home. For instance, with a median home price of $271,500, the assessed value plays a crucial role in determining the final tax bill. Several factors influence property tax bills, including property size, location, and any applicable exemptions. Homeowners in Traverse City face varying tax bills, with the 25th percentile tax bill at $554 and the 75th percentile reaching $1,032. For those in the 90th percentile, the tax bill can be as high as $1,435. This variability in tax bills significantly impacts homeowners, as higher assessed values and fewer exemptions can lead to higher tax obligations. Comparing these figures to the national median property tax rate of 0.99% provides insight into how local rates align with broader trends, highlighting the importance of understanding local tax assessments and potential savings.
Average Traverse City Tax Bill
$802
Average Benzie County Tax Bill
$868
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Traverse City, Benzie County, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 49684 | $331 | $554 | $802 | $1,032 | $1,435 |
Source: Ownwell