Chelsea, Michigan Property Taxes
The median property tax rate in Chelsea, MI is 0.41%, significantly lower than both the national median of 0.99% and the Michigan state median of 1.07%. With a median home value of $316,500 in Chelsea, the typical annual property tax bill amounts to $1,351, well below the national median of $2,690. Property taxes in Chelsea are calculated based on the tax assessed value, which is often less than the market value due to various exemptions, including those for primary residences and agricultural properties. Understanding Chelsea'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 Chelsea or another part of the city, familiarizing yourself with the local property tax system will benefit both homeowners and real estate investors.
Last Updated June 14, 2024
Chelsea, Michigan Property Tax Bill Calculator
$100,000
$1,500,000
$3,000,000
Average Tax Rate
0.41%
Estimate Property Tax Bill
$1,298
Ownwell’s Chelsea Property Tax Bill Calculator helps any homeowner, real estate investor, or potential owner estimate their annual property taxes in Chelsea with just two data points. By entering your property's estimated assessed value, the calculator applies the median tax rate in Chelsea 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 Chelsea, Michigan
Property taxes in Chelsea, Michigan, are vital in funding essential local services such as public schools, road maintenance, and emergency services. The median tax rate in Chelsea is 0.41%, significantly lower than both the Michigan state median and the U.S. national median of 0.99%. Local government entities within Chelsea set these rates annually, and they can vary significantly across different neighborhoods. Each year, Chelsea 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 Chelsea's effective property tax rate to other counties in Michigan and the national median. For comparison, the 48118 zip code has the highest median property tax rate of 0.41%, while the same zip code also has the lowest median tax rate of 0.41%. Understanding how these cities compare with Chelsea provides valuable insights into the varying tax landscape across Jackson County, helping homeowners gain a clearer picture of their property tax obligations relative to neighboring areas.
Average Chelsea Tax Rate
0.41%
Average Jackson County Tax Rate
0.86%
Average Michigan Tax Rate
1.07%
Average United States Tax Rate
0.99%
Property Tax Rates Across Chelsea, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Rate | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48118 | 0.32% | 0.39% | 0.41% | 0.43% | 0.50% |
Source: Ownwell
Property Tax Assessment Values Across Chelsea, Michigan
In Chelsea, 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 Jackson County 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 Chelsea, 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 Chelsea helps identify opportunities for protesting assessments or applying for exemptions to effectively manage the tax burden. The zip code with the highest and lowest median tax bill in Chelsea is 48118, with a median tax bill of $1,351.
Average Chelsea Assessed Value
$316,500
Average Jackson County Assessed Value
$149,600
Average Michigan Assessed Value
$177,800
Average United States Assessed Value
$244,900
Property Tax Assessment Values Across Chelsea, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Home Price | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48118 | $193,750 | $298,100 | $316,500 | $362,350 | $399,910 |
Source: Ownwell
Property Tax Bills Across Chelsea, Michigan
In Chelsea, MI, property tax bills are determined by assessing the market value of a home and applying the local tax rate. The median home price in Chelsea is $316,500. The assessed value is typically a percentage of this market value, and the local tax rate is applied to this assessed value to calculate the tax bill. Several factors influence the final tax bill for homeowners in Chelsea. These include the home's location within Jackson County, any applicable exemptions, and the specific millage rates set by local taxing authorities. For instance, the tax bill at the 25th percentile is $1,074, while at the 75th percentile, it reaches $1,511. Homeowners in Chelsea experience tax bills that can vary significantly, affecting their financial planning and budgeting. Compared to the national median property tax rate of 0.99%, Chelsea's property tax bills reflect both the market value of homes and the local tax policies, ensuring that homeowners contribute fairly to community services and infrastructure.
Average Chelsea Tax Bill
$1,351
Average Jackson County Tax Bill
$1,283
Average Michigan Tax Bill
$1,795
Average United States Tax Bill
$2,690
Property Tax Bills Across Chelsea, Michigan
| Zip | 10th Percentile | 25th Percentile | Median Tax Bill | 75th Percentile | 90th Percentile |
|---|---|---|---|---|---|
| 48118 | $920 | $1,074 | $1,351 | $1,511 | $1,637 |
Source: Ownwell